In the month of April this year, public shareholders received approximately Rs 7,003 crore open offers by listed companies, marking the second highest level in the year till date. Earlier in January 2013, the companies had made 11 open offers for Rs 8,308 crore.
According to the latest data compiled by market regulator Sebi, companies made a total of 10 open offers worth Rs 7,003 crore to buy shares from public shareholders.
As per Sebi regulations, the acquiring company has to make an open offer to the public shareholders pursuant to substantial acquisition of shares or change in control in a listed firm, giving the shareholders a fair opportunity to exit the company if they want.
"Out of the 10 public takeover offers during April 2013, nine offers worth Rs 6,977 crore were for consolidation of holdings while there was one offer worth Rs 26 crore for change in control of management and none for substantial acquisition," Sebi said.
As per Sebi's latest monthly bulletin, 6 companies closed their offers in April, including one offer related to acquisition of 4.8 crore shares of Vijay Mallya-led United Spirits by Relay B V. Shares of United Spirits were offered at a price of Rs 1,440 a piece, amounting to Rs 6935.57 crore.
The other companies for which offers were closed in April include Orient Refractories, Mapro Industries, Shree Surgovind Tradelink, Archana Software and Hind Syntex.