The delisting offer of Chennai-based TTK Healthcare failed to draw enough interest from public shareholders till the last day of the offer.
In April, the Woodwards Gripe water maker announced that its promoters had proposed to acquire all the equity shares held by public shareholders and file for voluntary delisting of its shares from the stock exchanges. The board of TTK Healthcare approved the voluntary delisting at a floor price of ₹1,051.31 per equity share. Earlier this month, the company revised the floor price of the delisting to ₹1,201.30 per equity share.
The promoters of TTK Healthcare together hold 74.56 per cent of the paid-up equity share capital of the company while the public hold the remaining 25.44 per cent.
Delisting offer
As per the delisting offer, the promoters offered to buy back the entire 35.94 lakh equity shares held by the public shareholders. However, at the close of offer period on Wednesday, only 17.02 lakh shares or 47.37 per cent of the total offer size were tendered by the public shareholders.
As per the minimum acceptance condition for the delisting offer, the cumulative number of equity shares held by acquirers (promoters) along with equity shares acquired through delisting offer should be equal or in excess of 90 per cent of the paid up equity share capital of the company.
As on date, TTK Healthcare promoters hold 1.05 crore shares (74.56 per cent) of the total 1.41 crore equity shares. With 17.02-lakh shares tendered by the public shareholders, the total equity shareholding of the acquirers stands at 87 per cent, which is still below the 90 per cent delisting requirement.
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As per the delisting offer, the promoters are entitled to (but not obligated) to make a counter offer to public shareholders till July 28.
Shares of TTK Healthcare slipped 4.42 per cent on Wednesday to close at ₹1,192 on NSE.