• Investment World
• eWorld
• Catalyst
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest

Our Bureau

New Delhi , Aug 1

CDC Financial Services, the UK-based private equity investor, has announced its intention to make open offers in Punjab Tractors Ltd (PTL), Swaraj Mazda Ltd and Swaraj Engines Ltd following its recent acquisition of 23.49 per cent controlling stake in PTL, in compliance with the mandatory takeover code stipulated by the Securities and Exchange Board of India (SEBI).

PTL holds 33 per cent stake in Swaraj Mazda Ltd, which makes light commercial vehicles with Mazda technology, and 29 per cent stake in Swaraj Engines Ltd, which manufactures diesel engines in collaboration with Kirloskar Oil Engines Ltd.

The rest of the stake in both the entities is held by institutional investors, private corporate bodies, the Indian public, NRIs and OCBs.

In the case of PTL, CDC has made an offer to buy 20 per cent from the public at Rs 153 per share. This was the price at which it had acquired strategic control of the second-largest tractor maker in the country from Punjab State Industrial Development Corporation Ltd (PSIDC).

CDC has made open offers for Swaraj Mazda Ltd at Rs 140 per share and at Rs 205 per share for Swaraj Engines Ltd.

The open offer will commence on September 18 and close on October 17, as per information given by ICICI Securities - the managers to the issue - to the Bombay Stock Exchange (BSE).

The offer is made to all the shareholders of PTL other than PSIDC, CDC and persons acting in concert (in this case, South Asia Regional Fund and Lathe Investment Pvt Ltd).

It is not conditional upon any minimum level of acceptance.

Article E-Mail :: Comment :: Syndication

Stories in this Section
Herbertsons case: Tribunal rules in favour of open offer

Copyright © 2003, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line