The Hindu Business Line : FCI OEN Connectors’ open offer begins

Kolkata, July 9 FCI OEN Connectors today moved up five per cent and finished at its all-time high price of Rs 584.15 as the bids opened for the residual non-promoter shares (total of 19,95,647 shares) buy-out, offered by the overseas promoters.

The share purchase offer, which would close on July 13, is for mopping up 31.69 per cent non-promoter holding by the promoters – FCI SA and FCI France and eventual delisting from the Indian bourses.

Bids are to be made on a floor price of Rs 391.38 per share (face value of Rs 10 each).

According to price discovery procedure, announcement of the exit price and the acquirers’ (promoter entities) acceptance or non-acceptance of discovered price would be made on July 17.

The acquirers are required to announce, under the SEBI guidelines, the discovered price, and its decision to either accept the discovered price or offer an exit price and accept the shares tendered up to, and inclusive of the exit price, or reject the discovered price.

Final settlement for shares in dematerialised form would be made on July 18 and the settlement for shares in physical form is to be made August 13, according to the pre-determined schedule.

According to the terms of the offer, in case the minimum number of shares, tendered at or below the discovered or the exit price does not cause the public shareholding of the Company to fall below the minimum public shareholding limit specified by the listing agreement, then last day for final settlement with BSE for shares in dematerialised form will be August 02, 2007.

The promoters holding in the telecom equipment company at present is 68.1 per cent, while non-institutional public holding is 31.69 per cent. Interestingly, OEN India Ltd, is one stakeholder in the public category having more than 1 per cent (actually holds 1.46 per cent). Also institutional public holding is just 0.83 per cent. Thus, the small shareholders would be key to the price discovery process.

JM Financial Consultants is the manager to the offer. The shares are currently listed on the BSE, NSE and Kochi Stock Exchange.

More Stories on : Open Offers | Hardware

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
FCI OEN Connectors’ open offer begins

Real estate, still a major choice

Tata Sons dilutes over 2% in TCS

Bull domination

BSE must price services competitively, develop new products: SEBI chief

Celebrating 133 years

BSE Realty Index launched

Fund houses prune exposure to auto, cement

Divi’s Lab on a roll

Alpa Labs IPO at Rs 62-68

Xenitis Infotech plans IPO