Virtusa Consulting Services, which owns 74.22 per cent in Polaris Consulting & Services, will launch the delisting offer for Polaris from the Indian stock exchanges starting January 30.
Virtusa seeks to acquire 26.41 million shares (25.78 per cent) through this delisting offer. The delisting offer ends on February 5. The last day for revision (upwards) or withdrawal of bids is February 2.
The delisting price is determined by reverse book build process and Virtusa will have the option to accept or reject the discovered price.
The board of directors of Virtusa had informed the stock exchanges earlier that it has set an indicative offer price of Rs 370 per equity share at which it may be willing to accept equity shares tendered by the public shareholders of Polaris in the delisting offer.
The indicative price is 67.6 per cent premium to Rs 220.73 per equity share, at which the acquirer Virtusa has 78.65 per cent of the voting share capital of the company in March 2016 from the erstwhile promoters and public shareholders and is 59.2 per cent premium to the floor price of Rs 232.37, as determined in accordance with the Sebi delisting regulations, Virtusa Consulting Services said in a regulatory filing.
"The current surge in the stock price is a matter of concern for us. We would like to consummate the delisting offer at a price that meets the ROI benchmarks for our shareholders. Since Virtusa is a NASDAQ listed public company, we will be careful in terms of premiums offered to the base price. If we decide to reject the delisting offer, we will then continue to run Polaris as a separately listed company," Virtusa CFO Rajan Kalia said here.
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