Bangalore, Sep 10 - India's liquor major United Spirits Ltd will raise about $300 million through private placement by October to reduce its debt burden, its chairman said Thursday.

'We will raise the money through private equity from qualified institutional promoters or by selling a portion of our treasury stock in the domestic market,' United Spirits chairman Vijay Mallya told reporters here.

'We are exploring all the three options. It could be through a combination of PE and QIPs or treasury stock,' Mallya said after the 10th annual general meeting of his flagship company United Breweries Ltd.

Mallya, however, did not specify the debt amount the company had on its balance sheet to acquire the British-based Whyte & Mackay for $1.2 billion in 2007.

Acquisitions of majority stake in Shaw Wallace for $300 million in 2005 and Whyte & Mackay brands made United Spirits the third largest spirits firm in the world.

The decision to raise the funds through institutional investors stems from the company's aborted talks last month on selling a strategic equity stake to British spirits major Diageo Plc.