EIH soars on counter offer, stake sale buzz

The stock finally ended at Rs 139, up 4.5% from the previous close. The counter witnessed trades of 385, 276 shares on the BSE as compared to the two-week daily average traded volumes of 66,480 shares on the BSE.
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(Updated at 1104hrs)

EIH has strengthened on news that ITC is mulling a counter offer or stake sale in EIH, which runs the Oberoi chain of hotels.

EIH is trading at Rs 139, higher by Rs 6 or 5%, on the BSE. The stock opened at Rs 138, which also happened to be the day'slow, and has touched a high of Rs 146.

The cigarettes-to-hospitality group has a 14.98 per cent stake in EIH, a shade less than the Securities and Exchange Board of India (Sebi) threshold limit of 15 per cent, that triggers a mandatory open offer for another 20 per cent.

A total of 192,863 shares have been traded on the conter as against the two-week average of 66,480 shares.