Spice Mobiles hits sixth upper limit on merger

Spice Mobiles frozen 5% upper limit of circuit filter to Rs 43. As many as 695,000 equity shares changed the hands on the counter as compared to two-week average 216,000 shares.
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(Updated at 1051 hrs)

Spice Mobiles has hit the 5% upper limit at Rs 43.45 for the sixth trading session in a row, after the company approved a scheme of amalgamation for the merger of Spice Televentures into the company.

The stock has appreciated by 27% in last six trading days from Rs 34.15 on January 29, is currently trading at near its life-time high of Rs 45.25 hit on January 5. Around 428,000 equity shares changed hands on the counter so far on the BSE.

According to valuation report carried out by BSR & Co, Chartered Accountant, the company's shares have been valued at Rs 109 per equity share and STPL's shares have been valued at Rs 862 equity share. The company has also received a "Fairness Report from Karvy Investor Services Ltd, endorsing the valuation and swap ratio recommended by the valuers as fair, as per announcement made by the company to the BSE.

The board of directors of both the companies have accepted the swap ratio of 791 equity shares of the Spice Mobiles for every 100 equity shares held in STPL.