TTML surges as Tata Sons cancels share sale
Only 84.5% of the issue was subscribed at 30% below the floor price.
Tata Teleservices (Maharashtra) or TTML has surged 12% to Rs 9.05 on BSE after its promoter Tata Sons decided to cancel its offer-for-sale (OFS) of shares in the company.
The stock opened at Rs 8.55 and has seen a combined 3.54 million shares changing hands on the counter till 1316 hours on BSE and NSE.
Tata Sons, the holding company of TTML on May 15, had proposed to sell a 51.6 million equity shares or 2.72% stake to meet the minimum public shareholding norms. All listed private sector companies must have at least 25% public shareholding by June 30, 2013.
The promoters of TTML currently hold a 77.72% stake in the company while 22.28% is held by public.
According to information available at stock exchanges website, only 84.5% of the issue was subscribed at 30% below the floor price.
The promoters received bids for 43.6 million shares against an offer of 51.6 million shares at an indicative price of Rs 5.67. Tata Sons fixed the floor price at Rs 8.90.
The stock opened at Rs 8.55 and has seen a combined 3.54 million shares changing hands on the counter till 1316 hours on BSE and NSE.
Tata Sons, the holding company of TTML on May 15, had proposed to sell a 51.6 million equity shares or 2.72% stake to meet the minimum public shareholding norms. All listed private sector companies must have at least 25% public shareholding by June 30, 2013.
The promoters of TTML currently hold a 77.72% stake in the company while 22.28% is held by public.
According to information available at stock exchanges website, only 84.5% of the issue was subscribed at 30% below the floor price.
The promoters received bids for 43.6 million shares against an offer of 51.6 million shares at an indicative price of Rs 5.67. Tata Sons fixed the floor price at Rs 8.90.