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Sardas On Course To Hit 15% In Bsl

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BUSINESS STANDARD
Last Updated : Jan 28 2013 | 12:54 AM IST

After acquiring a 12 per cent stake in BSL Ltd, promoted by the Jhunjhunwala and Churiwal families, the Rs 1,200-crore Sarda group plans to acquire more shares over the next few days to increase its stake to 15 per cent.

Sardas plan to follow it up with an open offer to scale up their holding to at least 51 per cent. In other words, the open offer by the Sardas would be for at least 36 per cent of the share capital of BSL Ltd.

According to sources, the price of the open offer is yet to be finalised, though it will be at a premium over the existing share price. Sources said that Kolmak Chemicals, the Sarda group company which has acquired the shares in BSL Ltd, is likely to announce an offer price which will give it a cushion to raise it further if the Jhunjhunwala and Churiwal families decide to make a counter offer. A merchant banker for the open offer is expected to be short-listed shortly.

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The promoters hold 34 per cent in the company, while financial institutions own another 12 per cent. The Ajay Kayan-promoted Smifs Capital is known to own another 6 per cent stake in BSL Ltd. The current floating stock of BSL Ltd is estimated at around 35 per cent of its equity. The company has a small equity capital base of a little over seven million shares of Rs 10 each.

Kolmak has now engaged Delhi-based Options Abacus as a financial advisor for the takeover bid.

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First Published: Jun 04 2002 | 12:00 AM IST

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