Anglo-Dutch FMCG giant Unilever Plcs $4.6 billion open offer to increase stake in its Indian arm Hindustan Unilever Limited (HUL) to up to 75 per cent commenced on Friday.
The companys offer for 22.52 per cent stake in HUL will close on July 4. At present,Unilever Plc has 52.48 per cent stake in HUL.
HUL shares ended the day at Rs 590.85 apiece,down 0.39 per cent from their previous close on the BSE.
The open offer comes at a time when the rupee has been under stress and has hit a level of over 59 against the US dollar on account of strong outflows by foreign institutional investors. While FIIs have pulled out a net of $5 billion in June,a success of the open offer will mean a strong inflow of over $4.6 billion,which may provide the rupee a much needed support over the next one month.
Market experts say that the open offer has just begun and response to the issue will only be known towards the end of issue. It is too early to talk about the response, said SP Tulsian,an independent market expert.