United Breweries Ltd snapped a 2-day fall today

United Breweries Ltd. snapped a 2-day fall on Tuesday on media reports that global giant Heineken is seeking an additional 29 percent stake from the UB Group, which earlier sold a controlling interest in the company.

Heineken, which already controls 42 percent equity in United Breweries, is interested in raising its stake in the price band of 950-975 rupees per share in UBL. Heineken will allow former owner Vijay Mallya to retain his seat on the board of United Breweries, the reports said.

As a consequence, shares of UBL were the top gainers in the futures and options space. They rose 65.30 rupees, or 7.6 percent, to 924.95 rupees on the National Stock Exchange with 3.27 lakh shares traded compared with a 5-day average of 2.28 lakh shares.

UBL's market capitalisation gained 31 percent in the past one year to 22,615 crore rupees and the stock is trading at 11 times its book value of 74.60 rupees.

Image credit: Indiatimes