It will be a hectic week for Vijay Mallya starting Monday - September 24th.
A series of AGMs (Annual General Meetings) are slated during the week, during which he will be up against his shareholders who will be really pushing him for answers on why there is so much flux surrounding almost all of his five major listed companies.
Top of the list, is of course, Kingfisher Airlines, followed by UB Holdings, United Spirits, United Breweries and then Mangalore Chemicals & Fertilizers (MCF).
There is intense speculation on all these five companies on how Mallya will steer the UB Group during the next year and it is indeed a herculean task.
During last year's AGMs, Mallya came out fighting and assuaged his shareholders that he will put the Group back in shape, but the situation has only worsened in Kingfisher Airlines, UB Holdings as well as in United Spirits.
As he faces his shareholders during this time around, he will be pretty much aware that there is an inherent need to capitalise on one of his assets and settle the long standing issue of high-leverage in his three main companies, which is proving to highly unwieldy.
While Kingfisher Airlines is under a debt of close to Rs 9,000 crore on a negative networth, United Spirits has a debt of Rs 8,600 crore on a leverage of around two times.
Text: Raghuvir Badrinath, Business Standard