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Liquor stocks in focus; United Spirits, Pioneer Distilleries hit 52-wk high

Shares of breweries & distilleries’ companies were focused on Wednesday with United Breweries (UBL), Pioneer Distilleries, Globus Spirits, United Sprits and GM Breweries ralling up to 11 per cent on the BSE within the intra-day trade on a faster volume recovery as multiple states started imposing lockdowns. as compared , the S&P BSE Sensex was up 0.31 per cent at 55,967 points at 12:25 pm.

Among individual stocks, Pioneer Distilleries hit a fresh 52-week high of Rs 143.90, surging 11 per cent today on the rear of heavy volumes. Meanwhile, UBL was up 7 per cent at Rs 1,509.60, and was trading on the brink of its 52-week high level of Rs 1,537.65 touched on August 3, 2021.

also soared 9 per cent to Rs 719.05 and hit a 52-week high on the BSE, supported by a seven-fold jump in trading volumes. United Spirits is one among the country’s leading beverage alcohol companies and a subsidiary of worldwide leader Diageo PLC. the corporate manufactures, sells and distributes premium brands like Johnnie Walker, Black Dog, Black & White, Vat 69, Antiquity, Signature, Royal Challenge, McDowell’s No1, Smirnoff, and Captain Morgan.


The outlook for the Indian alcoholic beverages continues to stay positive thanks to favorable demographics, expanding bourgeoisie , rising income levels, greater preference for premium food and drink experiences, and greater acceptance of alcoholic beverages in social circles. Increased consumption of liquor in rural areas are going to be another major reason for the expansion within the market, analysts say.

Although the typical per adult intake of alcohol is considerably low in India in comparison to other countries like the us , drinkers among young Indians are more prevalent. This provides tremendous opportunity to drive growth of Alcobev industry on the rear of its rising working-age population. it’s expected that per capita consumption will increase with changes in lifestyle and aspiration of the population,” United Spirits said in fiscal year 2020-21 annual report.

The company further said it’s on target to deliver on its medium-term goal of delivering double-digit topline growth and achieve mid-high teens Ebitda margins led by better pricing and price optimization. The company’s advance focus towards the franchisee model within the Popular segment with successful implementation in 13 states had been well received and an extra strategic review has been initiated.

That apart, Globus Spirits gained 5 per cent to quote at Rs 950 on the BSE. The stock had hit a record high of Rs 987.40 on August 16, 2021. within the past three months, it’s zoomed nearly 200 per cent as against an 11.4 per cent rise within the S&P BSE Sensex. Currently, the stock is trading under the T group on the BSE. within the T2T segment, each trade has got to end in delivery and no intra-day netting of positions is allowed.

On August 12, 2021, promoter Ram Bagh Facility Services LLP bought a further 162,000 shares of Globus Spirits at Rs 862.05, while future Equity Fund purchased 175,000 shares of the corporate at Rs 862.05 per share on NSE through bulk deals, exchange data shows. International Assets Reconstruction Company Private Limited sold 337,000 shares of Globus Spirits at Rs 862.05 per share, data shows.

Earlier, on August 11, International Assets Reconstruction Company Private Limited had sold 1.08 million shares of Globus Spirits at Rs 822.90 per share. Massachusetts Institute of Technology (900,000 shares) and 238 Plan Associates LLC (180,000 shares) had bought shares at price of Rs 822.90 per share vial bulk deals, data shows


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