Hindalco Industries rose 2.03% to Rs 100.30 at 9:35 ISt on BSE after the company announced that it has communicated to its subsidiary, Aditya Birla Minerals its intention to accept the improved offer by Metal X to acquire shares of ABML.
The announcement was made before market hours today, 26 April 2016.Meanwhile, the BSE Sensex was down 105.05 points, or 0.41%, to 25,581.88.
On BSE, so far 1.73 lakh shares were traded in the counter, compared with an average volume of 14.82 lakh shares in the past one quarter. The stock hit high of Rs 101.75 and low of Rs 99.10 so far during the day.
Hindalco Industries announced that it has communicated to Aditya Birla Minerals (ABML) its intention to accept the improved offer by Metal X to acquire shares of ABML subject to receiving the approval of the Reserve Bank of India and no bona fide superior proposal being announced by a third party within 5 business days of Metals X announcing its intention to make the offer. Metal X, a listed company in Australia has made an announcement regarding its intention to improve its ongoing takeover offer for acquiring shares of ABML under the relevant laws of Australia. ABML is a subsidiary of Hindalco Industries and listed on Australian Stock Exchange. Metal X has advised that it has concluded discussions with ABML and Hindalco regarding the offer. Hindalco holds 51% stake in ABML. Metal X has offered 1 fully paid ordinary share in Metals X for every 4.5 ABML shares and A$0.08 in cash for every ABML share held. Further, the board of ABML recommends the ABML shareholders accept if the offer is increased and have signed implementation agreement to manage the change in control of ABML.
The offer is conditional upon Hindalco's acceptance and confirmation that it has obtained the requisite approval of Reserve Bank of India in this regard. As at the date of the announcement, Metal X has a relevant interest in 29.77% of ABML shares. Acceptance of the offer by Hindalco would result in Metal X holding relevant interest in 80.77% of ABML.
Hindalco Industries' net profit fell 88.7% to Rs 40.46 crore on 5.3% decline in net sales to Rs 8021.23 crore in Q3 December 2015 over Q3 December 2014.
Powered by Capital Market - Live News