Shree Renuka Sugars increases stake in NCDEX to 12%

Shree Renuka Sugars today said it has increased its stake in National Commodity & Derivatives Exchange (NCDEX) to 12 per cent by purchasing 26.25 lakh equity shares of the bourse from Crisil for over Rs 38 crore.

In a filing to the Bombay Stock Exchange, the Karnataka- based sugar-maker announced that it has purchased 26.25 lakh shares of NCDEX from Crisil at a price of Rs 145 per share, amounting to Rs 38.06 crore.

"With the aforesaid acquisition, the company has increased its stake in NCDEX from 5 per cent to 12 per cent," the filing said.
    
Shree Renuka Sugars exercised its right of first refusal and purchased a 7 per cent stake in NCDEX from Crisil.
    
Crisil, which had a 12 per cent stake in NCDEX, had to reduce it to 5 per cent by September as per the guidelines of the Department of Industrial Policy and Promotion (DIPP).
    
The government has made it must for any foreign entity to limit its stake in a commodity exchange to 5 per cent.
    
Crisil is the Indian arm of global ratings agency Standard & Poor's.
    
Earlier this year, Fidelity reduced its stake in MCX from 9 per cent to 5 per cent to meet DIPP norms.