Tata Tea lays offer for 20 more stake in Mt Everest

Tata Tea on Monday made an open offer to purchase an additional 20 per cent stake in Mount Everest Mineral Water MEMW for Rs 95.19 crore. The firm will acquire upto 67.99 lakh equity shares at a price of Rs 140 each, to be funded through internal accruals, the company said.

DSP Merrill Lynch will manage the public offer. On June 1, Tata Tea agreed to buy 25.74 per cent stake and said that it would acquire another 20 per cent later.

Tata Tea would subscribe MEMW8217;s 50.99 lakh equity shares, constituting 15 per cent of the paid-up capital, on preferential basis. It would also acquire 31.10 lakh equity shares 8212; 10.77 per cent equity 8212; held by Foresight Holdings, promoter Vinod Sethi and MEMW managing director Salim Govani.

The total acquisition price would be around Rs 210 crore.