Bharati expects nod for Great Offshore open offer soon

Bharati Shipyard, the Mumbai-based ship builder that has announced an open offer for an additional 20 per cent stake in Great Offshore, said it was expecting approval for its offer in the next 10 days from the Securities and Exchange Board of India.

The company has so far acquired a 22.5 per cent stake in the drilling company for Rs 305 crore. The additional 20 per cent would cost about Rs 560 crore at the current price. Bharati’s competitor for taking control, ABG Shipyard, has made a counter offer to Great Offshore’s shareholders and it is also awaiting the market regulator’s approval.

Bharati, at its annual general meeting in Mumbai, said it had a capital expenditure plan of Rs 200 crore for the next two years. It today got shareholders’ approval to raise fresh funds. The company did not specify the amount it plans to raise. Bharati also expects Rs 277-crore of subsidy from the government by the end of this financial year.