MUMBAI, August 21: ICICI has sold 15.05 lakh equity shares of Shri Vishnu Cements, representing 6.35 per cent equity to B V Raju at Rs 55 per share through a negotiated deal, therefore raising the stake held by the Rajus to 50.11 per cent. The open offer launched by the Rajus to its shareholders is, therefore, revised to Rs 55 from Rs 25 announced earlier.The acquisition of 6.5 per cent of SVCL equity from ICICI is apart from the open offer made on August 5 by Raju and Kalahastheeswar Finance Pvt Ltd (KFPL) in concert with nine associates to acquire 47.44 lakh (20 per cent) shares of the company at a price of Rs 25 per share.
Raju is entangled with the Securities and Exchange Board of India (SEBI) over the transfer of 39.49 per cent of SVCL shares held by Raasi Cement Ltd (RCL) to his nine group companies, following a complaint by India Cements Ltd (ICL) which has taken control of RCL through a hostile open offer.
In keeping with the concept of shareholder value, the board of Raasi Cement decided to sell shares in the newer Shri Vishnu Cements to nine independent companies which expressed an interest in acquiring them.
On the advice of an independent valuer, the shares were sold at a price that was 40 per cent higher than the market value. At a time when the market price hovered at between Rs 5 to Rs 7, the board struck a deal with the nine independent companies at Rs 10 per share.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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