Sebi nod for Everonn's open offer to Varkey

Chennai-based Everonn Education Ltd has got market regulator Securities and Exchange Board of India's (Sebi) clearance for its open offer to Dubai-based Varkey Group, which was scheduled to open on November 16. Through the open offer, the Varkey Group was planning to acquire another 20 per cent stake in Everonn, for Rs 237 crore.

Managing director P Kishore confirmed the development, but did not comment more on the offer.

A public announcement for the offer was made in September, when Kishore was in judicial custody. He was arrested on August 30 by the Central Bureau of Investigation, which alleged he was trying to bribe an income tax official to conceal taxable income of Rs 116 crore. He was granted bail on October 4.

In the same month the Varkey Group, through its education arm, Gems Education, acquired 12 per cent (261,800 equity shares) in Everonn through a preferential allotment for Rs 138 crore. After the acquisition of these shares, the group will become Everonn’s largest shareholder, with 32 per cent stake in the company.

The stock price were up 10.89 per cent on Bombay Stock Exchange on Tuesday at Rs 349.40.