Comments
The shares of Magma Fincorp hit fresh highs on Thursday after Rising Sun Holdings Pvt Ltd controlled by Adar Poonawalla, CEO, Serum Institute of India announced its decision to acquire a 60 per cent stake in the company.
The company opened at a 52-week high of ₹93.40 on the BSE, up, ₹8.45 or 9.95 per cent as against the previous close of ₹84.95.
Related Stories
₹3,456-crore deal: Adar Poonawalla-backed firm to pick 60% stake in Magma Fincorp
On the NSE, it opened at a 52-week high of ₹93.55, up ₹8.50 or 9.99 per cent as against the previous close of ₹85.05.
Rising Sun Holdings Pvt Ltd on Wednesday announced its decision to acquire a 60 per cent controlling stake in the Mumbai-based non- banking finance company for ₹3,456 crore.
As part of the transaction, Magma Fincorp proposes to allot 45.8 crore shares to Rising Sun Holdings, and 3.57 crore shares to Mayank Poddar, Chairman and Non-Executive Director, and Sanjay Chamria, Vice-President and Managing Director, Magma Fincorp.
Rising Sun Holdings will consolidate the business of Poonawalla Finance Private Ltd with Magma Fincorp post the transaction, according to a regulatory filing.
The company and its subsidiaries will be renamed and rebranded under the Poonawalla Finance brand name following the preferential issue.
Rising Sun Holdings along with Chamria and Poddar will also launch mandatory open offer to acquire up to 26 per cent stake at ₹70 a share.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.