Dunlop likely to relist soon

The Cuttack High Court order to lift the stay on the rights issue of Dunlop India has raised the company's hopes of getting itself relisted shortly.

"The Cuttack High Court has lifted the stay of Appellate Authority for Industrial and Financial Reconstruction (AAIFR) on the Rs 27 crore rights issue restoring the BIFR order of March 16, 2007. Subsequently, the relisting of shares could take place on the stock exchanges," Dunlop Chairman P K Ruia said on Friday.

AAIFR stayed the Board for Industrial and Financial Reconstruction's (BIFR) approval to Dunlop rights issue, de-materialisation and trading of Dunlop shares in stock exchanges.

With the order, Dunlop could complete the rights issue process and relist the shares, Ruia said.

The AAIFR stay order came on a petition filed by Life Insurance Corp (LIC) to Sebi.

BIFR, in its ruling on March 16,2007, allowed the company to go for a 5:3 at par rights issue of 2.7 crore shares of Rs 10 each by April 15, 2007.

As on March 31, 2007, LIC held 9.05 per cent of a total Dunlop equity capital of Rs 44.98 crore.