Yet another multinational is delisting its shares from Indian stock exchanges. Ingersoll-Rand Ltd plans to buy all of the outstanding publicly-held shares of its Indian-based subsidiary Ingersoll-Rand India Ltd.Ingersoll-Rand, a diversified manufacturing company, owns 74 per cent of the shares of Ingersoll-Rand India. In accordance with the Sebi guidelines, the company intends to acquire the shares through a shareholder-led reverse book-building process, it informed the stock exchanges on Wednesday.Shareholders of Ingersoll-Rand India may tender their shares to Ingersoll-Rand Company at a price at or above the ‘‘floor price’’ determined by the guidelines.The ‘‘floor price’’ is defined as the average price of the company’s shares as quoted on the NSE in the 26 weeks preceding the date of the public announcement to be issued in accordance with the Sebi delisting regulations.Ingersoll-Rand said it reserves the right not to acquire the offered shares if the final price, as determined by the Sebi delisting guidelines, is more than Rs 325 per share. When the public holding in a company falls below 10 per cent, it can be delisted from bourses.Meanwhile, Ingersoll Rand India stocks surged 20 per cent to Rs 339.05 after its parent Ingersoll-Rand announced a proposal to buy all outstanding shares of the company. Most of the multinational firms preferred to delist their subsidiaries’ equity shares from the Indian stock markets after acquiring more than a 90 per cent stake. Carrier Aircon, Century Laminating, Kodak India, Madura Coats, Otis Elevator, Philips India and Reckitt Benckiser are few companies in this category.
