FIPB nod for 20% acquisition in HOEC

"The Board has recommended that the firm could acquire 20 per cent stake in HOEC through open offer subject to the final approval of Finance Minister P Chidambaram," said official sources.     

The decision was taken in this regard in the FIPB meeting held here on Friday.     

ENI informed the FIPB that under the SEBI provisions, it wanted to buy an additional 20 per cent stake, over 2.61 crore shares, in HOEC for Rs 144.2 a share.     

Meanwhile, it has also informed the Bombay Stock Exchange (BSE) that it would offer open offer to the shareholders of HOEC for acquiring an additional 20 per cent on July 2.     

In a filing to the BSE, HOEC said as per the revised schedule open offer would open on July 2 and close on July 21.     

Earlier, the firm had announced that the open offer would begin on June 11 and close on June 30.     

Indian takeover rules obligate ENI Holding to make an open offer for not less than 20 per cent of HOEC's outstanding shares.

The aggregate consideration payable under the offer (assuming full acceptance) is Rs 376.58 crore.     

The open offer for the 20 per cent stake came after ENI acquired 100 per cent stake in Burren Energy, which held 27.17 per cent stake in HOEC, through its wholly subsidiaries in November last year.