The Hindu Business Line : SSI makes open offer to Telephoto shareholders

SSI Ltd has made an open offer to the shareholders of Telephoto Entertainments to acquire 20.01 per cent (12.28 lakh fully paid-up equity share of Rs 10 each) of the latter's fully expanded voting equity capital at Rs 19 a share.

The offer will be open from January 23, 2006 till February 11, 2006.

The open offer was triggered following SSI's plans to acquire management control of the Chennai-based Telephoto, which is into film execution, as part of its drive into entertainment business.

Last week, SSI announced that it would acquire 11.5 per cent stake (3.50 lakh equity shares of Rs 10 each) of Telephoto for Rs 15.25 from Telephoto's promoter Mr Suresh Chandra Menon. It will also make a preferential offer of 30 lakh equity shares and 27 lakh convertible warrants at Rs 15.25.

The total consideration for the purchase will be Rs 5.53 crore. This includes the preferential offer, which has to be approved by Telephoto shareholders. After the acquisition, SSI will have a 54.6-per cent stake in Telephoto.

At the Bombay Stock Exchange, SSI's share price closed at Rs 84.50 and Telephoto's at Rs 19.80.

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