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Virtusa Consulting Services, promoter of Polaris Consulting & Services, is planning to dilute its stake.
The offer-for-sale by the promoter of Polaris Consulting & Services will open on Thursday. The floor price for the offer is ₹130 a share.
The promoter intends to make an OFS of 18.86 lakh equity shares and a greenshoe option of another 18.86 lakh shares. It represents 1.86 per cent (without greenshoe option) of the equity share capital of the company.
The OFS was made to meet the minimum public shareholding norm. According to SEBI norm, all listed companies should have minimum public shareholding of 25 per cent.
The OFS will open for subscription on December 8 for non-retail investors and December 9 for retail investors and for non-retail investors, who choose to carry forward their bids.
The BSE is the designated stock exchange for the issue.
Public shareholdersAmong the public shareholders are UTI (Unit Scheme for Charitable and Religious Trusts and registered societies) 1.21 per cent, Australian Super 1.14 per cent and LSV Emerging Markets Equity Fund LP 2.11 per cent. About 40,000 small investors hold 8.33 per cent stake while high net worth individuals control 1.27 per cent.
It may be recalled that in March, US-based technology outsourcing company Virtusa Corporation had increased its stake in Polaris Consulting Services to 78.65 per cent after its successful open offer. At the end of September 2016, promoters held 78.61 per cent stake in the company.
The ₹590-crore open offer, which closed on March 28, was made at ₹220.73 a share.
Pact and afterThe open offer was mandatory after Virtusa Consulting Services, Virtusa Corporation and Virtusa International BV entered into an agreement to purchase 53 per cent of the equity share capital of Polaris Consulting for ₹1,173 crore from Polaris’ founder and Chairman Arun Jain, and shareholders, such as Orbitech Pvt Ltd.
According to SEBI regulations, any entity that acquires more than 25 per cent stake in a listed company has to make an open offer to public shareholders of that company to acquire another 26 per cent shares of the company.
Virtusa Consulting Services had then clarified that it has no intention to delist the company post-open offer.
On Wednesday, while the shares of Intellect Design Arena closed at ₹143.80, those of Polaris Consulting closed at ₹162.25, on the NSE.
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