Parent Ups Pie In Carrier To 86%

Carrier Corporation, the US air-conditioning giant, has raised its stake in the Indian subsidiary Carrier Aircon to 86 per cent for Rs 82 crore, its merchant banker, DSP Merrill Lynch, said. The stake-hike by the parent is followed by the open offer to public shareholders.

Carrier Corporation, which earlier held a 51 per cent stake in Carrier Aircon, made an open offer in July through its wholly-owned subsidiary -- Carrier International Mauritius.

The offer was to buy out 1,14,77,583 fully paid-up equity shares of Rs 10 each, representing 49 per cent of the paid-up share capital at Rs 100 per share.

The plan behind the open offer was to get Carrier Aircon delisted from the bourses -- which is line with the parent's strategy.

Carrier Corporation's subsidiaries, worldwide, are not listed and Carrier Aircon is among the few that are listed.

However, United Technologies, which owns Carrier Corporation, is a listed company.

It is not yet known whether the parent will go in for another open offer to acquire the balance 14 per cent in the Indian subsidiary. Carrier Aircon officials could not be reached for comment.

Under the stock exchange listing rules, if 90 per cent of a company is acquired by the promoters, they can delist the company from the bourses.