Pramod Jain threatens to move court against Golden Tobacco EGM

A minority shareholder of Golden Tobacco Pramod Jain, who has made an open offer for additional 25 per cent stake in the firm, today said he will seek court injunction against holding extra-ordinary general meeting (EGM) on January 18.

"I certainly intend to move court and seek an injunction against the EGM called by the company, which seeks the blanket approval for the board to deal in any manner they deem fit with regard to Vile-Parle property that is valued at over Rs 800 crore," Jain told PTI.

"I want the disposal of the asset and the use of fund should be monitored by the court appointed administrator," he added.

Jain, who has 6.47 per cent stake in GTL, maintained that by hiking his holding in the company he intends to prevent the promoters from stripping its assets.

Meanwhile, Sanjay Dalmia-promoted GTL today informed the Bombay Stock Exchange (BSE) that Jain's voluntary open offer has been delayed pending some clarification from the capital market regulator SEBI.

The offer, which was to open on December 30, got delayed as the Securities and Exchange Board of India (Sebi) has sought some clarifications.

"The original schedule of activities as disclosed in the PA (public announcement) shall be delayed and the revised schedule of activities will be announced on receipt of the observations from Sebi," GTL said.

GTL officials could not be immediately contacted for their comment on Jain's stance.

GTL has informed the BSE that it would hold the EGM on January 18 seeking approval from shareholders for constituting an empowered committee to initiate steps for developing its properties in Vile Parle and Marol (Mumbai), Hyderabad and Guntur.

It also seeks approval to "enter into joint development agreement for the Vile Parle, Mumbai property or agreement to sell small properties of the company at Marol and also at Hyderabad and Guntur".

Last month, Pramod Jain & Pranidhi Holdings had made an open offer for acquiring another 25 per cent stake in the Sanjay Dalmia-promoted company.

The voluntary offer aims to acquire 44.02 lakh shares, representing 25 per cent stake, at a price of Rs 101 each.

According to the original schedule, the open offer was to close on January 18, 2010.

Shares of GTL today rose 4.90 per cent to hit its upper trading limit of Rs 124.35 on the BSE.