United Spirits Ltd will sell 11.35 per cent stake in Pioneer Distilleries Ltd to comply with regulatory requirements of having 25 per cent public shareholding.
In a filing to the BSE, United Spirits Ltd said: “The promoter and holding company of Pioneer Distilleries Ltd propose to sell 15,20,067 equity shares of Rs 10 each representing 11.35 per cent of the equity shares of the company (Pioneer) on September 24…”
The sale will be carried out on a separate window provided by the BSE and NSE under SEBI OFS (offer for sale) circular.
As per information available on the BSE, as on June 2014, promoter and promoter group held 86.35 per cent in Pioneer Distilleries Ltd, while public shareholding is 13.65 per cent.
In June 2010, the government had amended the Securities Contract (Regulations) Act rules, which made it mandatory for all listed companies to have a minimum of 25 per cent public shareholding.
United Spirits said the sale will be held between at 9.15 am and 3.30 pm on September 24, while the floor price will be provided to stock exchanges on September 23.
The company said no discount is being offered for retail investors.
Shares of Pioneer Distilleries Ltd were trading at Rs 60 per scrip in the afternoon trade, up 1.69 per cent from the previous close on the BSE.