Ibps Current Share Price Fully Discounted

The pre-offer share price of IBP has not moved up ahead of open offer by the Indian Oil Corporation (IOC).

The IBP share closed today at Rs 861.25 against the open offer price Rs 1,551.25 announced by IOC to acquire 20 per cent stake from the market.

At the current market price of Rs 861.25, the stock markets has already factored in the open offer price, says Maheshkumar Bhatia, a BSE broker.Since IOC (with an existing 33.58 per cent stake) and the government (25 per cent) together hold 58.58 per cent equity capital of IBP, an open offer means IOC is buying 20 per cent equity from the market out of remaining 41.42 per cent of the total equity of IBP.

 

This means, of the 100 shares available in the open market, IOC will pick 48.28 shares. Logically, an investment of Rs 86,125 to buy 100 IBP shares (at today