Kingfisher Airlines, which had planned to come out with an Initial Public Offering this year, will not do so till it discovers 'optimum value' for the shares, UB Group Chairman Vijay Mallya said on Friday.
Asked if the change of plans were related to the stock market crash, he said Kingfisher Airlines is extremely well- funded and it was not dependent on an IPO.
".. that (IPO) is not a necessity or an imperative for us because we are well-funded. Kingfisher Airlines probably has the highest paid-up equity capital of any airline in India -- Rs 372 crore (Rs 3.72 billion) to be precise."
"If the (stock) markets improve...and if we get full value....please understand that the determining factor (to go in for an IPO) is not the (performance of) markets. It is the shareholder value and the value of Kingfisher Airlines itself."
"Unless we find optimum value, we are not going to dilute. Its a 100 per cent company of UB Holdings and it will stay that way till full value is realised for the benefit of shareholders of UB holdings," he said.
Asked when he expected Kingfisher Airlines to get optimum value, Mallya said he is no crystal-gazer and cannot forecast.
On reports that Airbus Industries might delay delivery of A380 and A350 to different airlines, Mallya said acquisition plans of Kingfisher Airlines would remain unaffected as its delivery was due in 2010 when Airbus would have solved their problems.
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