Promoters to strengthen Escorts

The stock of Escorts will be in limelight following the talk of hostile takeover. Last week, promoters have acquired 4 per cent stake from Reliance Capital through open market purchases. Post the acquisition, the promoters' stake in the tractor company surpassed 31 per cent. Though media was abuzz with speculation of a takeover threat, the company dismissed it as rumours. However, markemen continue to believe that promoters will further strengthen their holding in the company.