The battle for Forbes Gokak is getting hotter. The Pawankumar Sanwarmal group is planning to hike its open offer price further from the current Rs 88.50 a share. In response, even the Shapoorji Pallonji group, which has offered Rs 90, is willing to counter it.
The Sanwarmal group has already revised the schedule of its offer which will now remain open from January 3 to February 1. The group said the revision in the offer schedule was made as the Securities and Exchange Board of India (Sebi) was not satisfied with the security that it had provided for the offer.
It had pledged 1.45 lakh shares of Pilani Investments, at a market value of Rs 777 a share, against the fund requirements for the open offer to be placed in an escrow account. But the Sebi has now stated that it wants 25 per cent of the total consideration payable in the form of fixed deposit or bank guarantee.
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"Since this requires time, the group decided to revise the schedule," Sanwarmal said. "We would be complying with the Sebi's strictures by the end of the week," he added.
Sources with the Shapoorji Pallonji group said, "If the counter bidder hiked its offer price, we too would be going in for a further hike, the quantum of which will depend on what the competitor offers.'
The sources added, "The Mistry group will also be extending the closure of the offer to February 1." The group's offer started on November 28 and would be closing on January 10.
The Mistry group has already revised the offer price to Rs 90 from earlier Rs 80 per share.
Currently, the construction baron holds about 24 per cent in the diversified Forbes Gokak, while Pawankumar group holds 14.80 per cent. The last date for revising the open offer price for the latter is January 23. The earlier offer made by Pawankumar was suppose to open on December 12 and close on January 10.