Areva open offer for Alstom

For 20% stake; HSBC & Capital Markets appointed managers to the offer.

Areva T&D SA and Areva T&D Holding SA have made an open offer to the shareholders of Alstom Ltd to acquire close to 8 million shares, representing 20 per cent of the company's equity, at Rs 75.03 a share.

The offer has been announced by HSBC Securities and Capital Markets, manager to the offer, on behalf of Areva.

In a notice to the Bombay Stock Exchange, HSBC Securities has said, pursuant to Regulation 10 and 12 and other applicable provisions and as required under the Securities and Exchange Board of India (substantial acquisition of shares & takeovers) Regulation, 1997, the offer price has been set at Rs 75.03 per share.

The dates of opening and closing of the offer are May 30 and June 18, respectively.

Although Areva has completed the acquisition of Alstom's transmission and distribution business globally, it has to make an open offer because of substantial public holdings in the Indian operations.

Alstom Projects India Ltd, the company's flagship in India, too, had a transmission and distribution business that was sold off to Areva a few months ago for Rs 40-45 crore.