Aditya Birla Nuvo has made an open offer to acquire up to 11,080,000 equity shares of the face value of Re 1 each in Apollo Sindhoori Capital Investments, representing in aggregate 20 per cent of the paid-up equity share capital and voting capital, at a price of Rs. 64.08 a share payable in cash. This open offer follows the Aditya Birla Nuvo acquiring 56 per cent of the Apollo Sindhoori Capital week earlier from Apollo Hospitals Group.
On August 28 this year, Aditya Birla Nuvo, had said it would acquire 56 per cent stake in Chennai-based stock broking firm Apollo Sindhoori Capital for Rs 198.81 crore, which valued the whole company at Rs 355 crore.
The Aditya Birla group has presence in mutual fund and insurance. This deal also marks the return of the group to the stock broking business. In 2003, the Birlas had exited the stock broking business by selling Birla Sun Life Securities, a JV between the Aditya Birla group and the Sun Life Group of Canada to the JV Gokal Group.
Chennai-based Apollo Hospitals Group (which had sold the 56 per cent stake to Aditya Birla Nuvo) however has retained 10 per cent stake in the company after the sale.
