EIH to delist its global depository receipts from LSE

Hospitality major EIH Ltd that runs hotels and resorts under Oberoi and Trident brands today said it plans to delist its global depository receipts from the London Stock Exchange in February 2017.
In this regard, the company has issued a notice to Bank of New York Mellon, the depository of the GDRs, saying the deposit agreement dated October 7, 1994, between them will be terminated.
Concurrently, with termination of the deposit agreement and the resulting termination of the GDR facility, the company will delist the GDRs form the London Stock Exchange, EIH said in a filing to the BSE.
"The termination of the deposit agreement is expected to occur on or about February 23, 2017, and the listing and admission to the trading of GDRs on the London Stock Exchange will be cancelled with effect from the same date," EIH said.

Following the termination of the deposit agreement, the GDR holders will have time until at least February 23 next year to decide whether they would like to retain their interest in the shares of the company or not.
According to the filing, in case the holders do not surrender the GDRs and request delivery of underlying equity shares, they will lose the right to receive those shares. In such a scenario, they will be entitled, upon subsequent surrender of the GDRs, to receiving the net proceeds of the sale of those shares, it added.