Deepak Fert revises open offer price for MCFL

Pratim Ranjan BoseAlka Kshirsagar Updated - March 12, 2018 at 05:31 PM.

Sailesh Mehta-run Deepak Fertilisers & Petrochemicals now leads the race to acquire a majority control over Vijay Mallya’s Mangalore Chemicals and Fertilisers Ltd (MCF).

The Pune based company – that controls a little over 25 per cent stake in MCF - today placed a final offer to acquire 26 per cent additional stake at Rs 93.60 per share, up by nearly Rs 30 a share from its initial offer of Rs 63 a share.

Deepak’s offer is nearly Rs 12 a share higher than the final offer from Saroj Poddar’s Zuari Fertilisers and Chemicals Ltd which is acting in concert with Mallya’s UB Group.

Zuari, having over 16 per cent stake in MCF, upped its offer from Rs 68.55 a share to Rs 81.60 a share.

MCF is currently controlled by the UB group with a mere 22 per cent stake, a part of which is pledged with banks. As per the memorandum of association of MCF, UB can field three directors on board with 15 per cent or more stake.

Stock hits ceiling

Deepak’s offer was substantially higher than the market expected.

MCF stock closed at Rs 73.45 a share on Thursday. It opened today at Rs 86 a share and soon hit the circuit breaker at Rs 88.10, up by 19.95 per cent (Rs 14.65 a share) from the previous closing.

Published on September 26, 2014 06:41