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Construction equipment maker Atlas Copco India on Thursday said its parent firm has decided to buy back its shares at Rs 2,250 a piece and delist the company from Bombay Stock Exchange and Pune Stock Exchange.
The delisting offer of Rs 2,250 a piece reflects a premium of 20.36 per cent over the company’s trading price on Tuesday.
“The company has received on January 26, 2011 a communication from the Acquirer (Atlas Copco AB) vide their letter dated January 26, 2011, informing that they are willing to accept equity shares tendered in the delisting offer at a price of Rs 2,250 a equity share,” Atlas Copco said in a filing to the Bombay Stock Exchange.
Reacting to the news, Atlas Copco rocketed by 19.99 per cent to Rs 2,243.20 a piece on BSE. The company that sells over 30 brands, including Chicago Pnuematic and Dynapac, had sought voluntary delisting in October last year after receiving a letter from its promoter and parent firm, Atlas Copco AB in this regard.
Atlas Copco AB, which holds 83.77 per cent stake in the firm, wanted to acquire the remaining 16.23 per cent of the outstanding share capital of the company prior to delisting. It decided to delist the company in accordance with the Securities and Exchange Board of India regulations.
The company started operations in 1920 and its customers include the Tata Group, Unilever and General Motors among others.
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