HB Stockholdings adamant, ups DCM Shriram stake to 15%

Investment firm HB Stockholdings, which made a hostile takeover bid for DCM Shriram Industries...

Investment firm HB Stockholdings, which made a hostile takeover bid for DCM Shriram Industries (DSIL), has consolidated its holding in the sugar manufacturer to 15.06 per cent through open market transactions.

Delhi-based HB Stockholdings, promoted by Harish Bhasin, acquired 13,797 equity shares in DSIL on December 4 for an estimated Rs 17.06 lakh in market transactions, the company said in a disclosure to the Bombay Stock Exchange.

The total consideration calculated as per the DSIL’s closing price of Rs 123.70 on December 4, comes to Rs 17.06 lakh for the purchase. The purchase has increased HB Stockholdings stake in DSIL to 23,04,036 equity shares representing 15.06 per cent holding, the disclosure said.

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Last month, HB Stockholdings had bought 48,733 shares in DSIL from the open market for about Rs 45 lakh. Shares of DCM Shriram today closed at Rs 123.50, down 4.89 per cent after touching an all-time high of Rs 136.30 in morning trade on BSE.

Earlier, HB Stockholdings made a hostile takeover offer to DCM Shriram for buying the 22.8 per cent stake in the company at a price of Rs 70 a share. The offer price has been recently revised to Rs 90 a share in a move to acquire more shares in the company.

The investment firm had made an open offer to acquire 35 lakh shares of DSIL. The offer was proposed to open on January 3 and close on January 24, next year.