The Hindu Business Line : Chhabrias add `interest' to Herbertsons offer

THE Chhabrias - Mr Kishore Chhabria and Mr M.D. Chhabria - have revised the term of open offer for the shareholders of Herbertsons Ltd, which was made by them on August 21.

Under the new terms, they will pay 15 per cent interest on the offer price of Rs 90.50 per equity share for all the shares accepted in the offer from February 25, 1995 until the date of actual payment under the offer irrespective of period of holding by acquisition subsequent to January 25, 1995.

This is to be paid by January 2, 2004 and the total amount payable including interest will be Rs 210.74 per share.

"The acquirer to avoid any controversies and with a view to providing maximum benefits to the investors are revising the term of the Offer in relation to the payment of interest on the shares that are accepted in the offer,'' a notice to the Bombay Stock Exchange said.

All other terms remain unchanged.

The date of opening of the offer is October 3 and December 3 is the closure day.

The Chhabrias had earlier announced that it was making an open offer to acquire 20 per cent of the paid-up capital in liquor firm Herbertsons Ltd at Rs 90.50 per share. This announcement followed a Securities Appellate Tribunal directive on August 1 asking the Chhabrias to make an offer to acquire 19,04,485 equity shares in Herbertsons. The Chhabrias currently hold over 49 per cent in Herbertsons through Veneer Investment & Finance Pvt Ltd, Algid Investment & Finance Pvt Ltd, Airedale Trading Pvt Ltd and IMFA Holdings Pvt Ltd among others.

SAT had directed the Chhabrias to pay 15 per cent interest per annum from February 24, 1995 till the date of actual payment of consideration for shares to be tendered in the offer, only to those persons who were holding shares of Herbertsons as on January 25, 1995 and continue to be shareholders.

The UB Group had earlier this week made a counter offer at Rs 200 per share.

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