Rayban asked to make open offer

The Supreme Court has directed Rayban Sun Optics and Luxottica group to make a public announcement of an open offer to the shareholders of RayBan Sun Optics India under the Sebi takeover regulations within a period of 45 days.

This works out to about Rs 105 per share.

The company informed the stock exchange that the referral date for calculation of open offer price is April 28, 1999.

The court has also directed the Luxottica group to pay the offer price with the interest rate of 10 per cent per annum with effect from 27 August 1999 till the date of payment to all those who were shareholders on August 27, 1999 and continue to be shareholders of the company on the closure date of the public offer.

The issue pertains to Luxottica's agreement with Ray-Ban in April 1999, as per which Luxottica had acquired 44.15 per cent of the paid-up capital of Ray-Ban Optics India (then Bausch & Lomb India).

Acting on a complaint received in 2001, Sebi stated that this acquisition triggered the provisions of the Sebi's takeover regulations.

In 2002, Sebi said that that the Luxottica must announce an open offer, with the reference date for the calculation of the offer price being April 28, 1999.