Fresenius makes delisting offer; to buy shares for Rs 390 cr

Delisting offer will commence on Oct 15 and close on Oct 22, 2013

Promoters of healthcare services firm Fresenius Kabi Oncology today made a delisting offer to acquire all publicly held shares for about Rs 390 crore -- culminating a long running dispute with market regulator Sebi.

 

Under the delisting offer of more that three crore shares, accounting for 19% stake in the company, will be acquired at an indicative offer price of Rs 130 each.

 

"Through the delisting offer, the acquirer seeks to acquire up to 30,063,255 shares of the company representing 19% of the total share capital of the company from the public shareholders," Fresenius Kabi said in a public announcement today.

 

The delisting offer would commence on October 15 and close on October 22, 2013, the company said.

 

DSP Merill Lynch is the manager, while Link Intime is the registrar, to the delisting offer.

 

As per norms, a delisting offer is considered successful if the post-offer shareholding of promoters crosses the higher of 90 percent of the company's total share capital, or the aggregate percentage of pre-offer promoter shareholding and 50% of the offer size.

 

In end to a long-standing dispute, Fresenius Kabi had got Sebi's permission to delist its shares from the stock market, in July, this year.

 

The regulator had said that the company would have to take into account its pre-OFS (Offer for Sale) promoter shareholding of 90% instead of 81% holding achieved after the OFS to determine the minimum number of shares to be acquired for the delisting.

 

However, last week, the Securities Appellate Tribunal had allowed the healthcare firm to delist its shares without any such conditions.