United Breweries Holdings is the holding company for companies like Kingfisher, Shaw Wallace, Deccan and other Vijay Mallya gems. UB holding is estimated to have a net worth of more than Rs 611 crores and the stock managed to surge more than 1300% since the alien days of it being at Rs 94. The stock is currently trading at Rs 270.20 and is a cumulative bunch of pros and cons of all the companies Vijay Mallya has.
The reason I brought up UB Holdings is because of the nature of the entity. It is a holding company and like all holding companies is a mutual fund in itself. This means that by owning a stock of UB Holdings, one indirectly reaps the benefits of having invested in all the holding companies of UB Holdings. That’s the charisma of a holding company stock and no other stock does it better than that of the “King of Good Times”.
Thursday, September 4, 2008
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