Radico Khaitan surges on stake sale talk
The company has begun preliminary talks to sell a minority stake to Japan's oldest liquor company Suntory Holdings.
Radico Khaitan is locked in upper circuit of 5% at Rs 125 on NSE on reports that the company plans to sell a minority stake to Japanese liquor company Suntory Holdings.
Radico Khaitan, India's fourth largest liquor maker has begun preliminary talks to sell a minority stake to Japan's oldest liquor company Suntory Holdings, the Economic Times report suggests.
The Japanese spirits major is expected to pay close to Rs 870 crore for the stake, valuing Radico Khaitan at Rs 3,500 crore, or close to 20 times its FY13 operating profit, added report.
The stock opened at Rs 125 and touched a low of Rs 122 so far. A combined 1.34 million shares already change hands on the counter and there are pending buy orders for around 40,000 shares on NSE and BSE.
Radico Khaitan, India's fourth largest liquor maker has begun preliminary talks to sell a minority stake to Japan's oldest liquor company Suntory Holdings, the Economic Times report suggests.
The Japanese spirits major is expected to pay close to Rs 870 crore for the stake, valuing Radico Khaitan at Rs 3,500 crore, or close to 20 times its FY13 operating profit, added report.
The stock opened at Rs 125 and touched a low of Rs 122 so far. A combined 1.34 million shares already change hands on the counter and there are pending buy orders for around 40,000 shares on NSE and BSE.