Wendt corrects as OFS begins

Wendt (India) slumped 6.01% to Rs 2918 after the offer for sale (OFS) opened for non-retail investors today.

Through the OFS, the company's promoter Carborundum Universal and Wendt GmbH propose to sell 94,704 shares, constituting 4.74% paid-up share capital of the company.

As per Sebi norms, the promoters need to bring down their stake to 75%. As per the latest shareholding pattern, Carborundum Universal and Wendt GmbH, both held 39.87% stake each in the company as on 30 September 2020.

The floor price for the OFS has been set at Rs 2200 per share, at a 29.14% discount to Wendt's closing price of Rs 3,104.7 on Wednesday, 6 January 2021.

 

The OFS opened on Thursday (7 January 2021) for non-retail investors, while both retail as well as non-retail investors will be able to subscribe on Friday (8 January 2021).

A total of 10% of the offer size, aggregating to 9,471 shares, has been reserved for retail investors.

As on 11:35 IST, the OFS received subscription for 10,573 shares or 12.40% against the base non-retail offer size of 85,233 shares.

Wendt India in the business of super abrasives, machine tools and precision components. The company's consolidated net profit declined by 44.3% to Rs 2.79 crore on a 23.3% fall in net sales to Rs 32.46 crore in Q2 FY21 over Q2 FY20.

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