After Wednesday’s steep fall, the stock of Jaypee Infratech recovered in early trade on Thursday, as Jaiprakash Associates, its promoter, withdrew the offer-for-sale of equity shares of Jaypee Infratech.
The stock was trading at Rs 50.1, up 3 per cent, on the BSE.
The original offer, which was scheduled to open for subscription today, was deferred by the company due to a sharp fall of 8.65 per cent in the share price of Jaypee Infratech on Wednesday.
“In view of today’s unusual fall in the share price of Jaypee Infratech Ltd, post announcement of OFS, Jaiprakash Associates Ltd has decided to defer the said offer-for-sale,” the company informed the exchanges at 8.30 p.m. on Wednesday.
Jaiprakash Associates had planned to conduct OFS for 2.78 crore equity shares of Jaypee Infratech with an option for additional 7.06 crore shares. The sale was being undertaken to meet the SEBI’s minimum public shareholding norm. JP Associates currently holds 83.1 per cent in Jaypee Infratech.