McNally Bharat Engineering surges on open offer

The stock surged 20% to Rs 95 in early morning trades after the EMC and Williamson Magor Group made an open offer at Rs 100 per share.

Shares of McNally Bharat Engineering surged 20% to Rs 95 on the BSE in early-morning trades after the EMC and Williamson Magor Group made an open offer at a price of Rs 100 per share.

“EMC Limited, along with MKN Investment Private Limited, in its capacity as a person acting in concert for the acquisition of equity shares and McLeod Russel India, Williamson Magor & Co. Limited, Babcock Borsig Limited, Williamson Financial Services Limited, Kilburn Engineering Limited, Bishnauth Investments Limited and Mr. Amritanshu Khaitan and together with all the persons acting in concert, made an open offer for acquisition of up to 13.15 million equity shares of face value of Rs 10 each consisting 26% of the emerging voting share capital of McNally Bharat Engineering Company at price of Rs 100 per share,” Motilal Oswal Investment Advisors Private Ltd, manager to the offer, said in a BSE filing.

Meanwhile, McNally Bharat Engineering has announced that it has entered into an agreement with EMC Limited and Williamson Magor Group (existing promoters) to enable an additional equity investment of up to Rs 100 crore as primary equity in the company.

McNally Bharat Engineering will allot 10 million shares to EMC at a price of Rs 100 per share on a preferential basis, the company added.

At 0931 hours, the shares of McNally Bharat Engineering were up 15% at Rs 91.15 on the BSE with a combined around 900,000 shares changing hands on the counter on the BSE and NSE.