Pipavav shares zoom 18% as R-Infra open offer concludes

Shares of Pipavav Defence and Offshore Engineering Company surged nearly 18 per cent today as Reliance Infrastructure acquired an additional 17 per cent stake in the company for an estimated Rs 850 crore through an open offer.
The stock soared 16.70 per cent to settle at Rs 76.50 on BSE. During the day, it jumped 19.98 per cent to Rs 78.65.
At NSE, shares of the company surged 17.65 per cent to close at Rs 76.65.
The company's market valuation rose by Rs 806.98 crore to Rs 5,631.98 crore.
Shares of Reliance Infrastructure also gained 3.23 per cent to Rs 436.85 on BSE.

Anil Ambani-led Reliance Infrastructure has acquired an additional 17 per cent stake in Pipavav Defence for an estimated Rs 850 crore through an open offer, taking its total holding to nearly 35 per cent.

In a statement, Reliance Infrastructure today announced closing of the open offer period for the acquisition of Pipavav Defence and Offshore Engineering Co Ltd.
According to banking sources, Reliance Infrastructure has purchased an additional 17 per cent stake in Pipavav Defence for an estimated Rs 850 crore.
The open offer was made by Reliance Infrastructure and its wholly-owned subsidiary, Reliance Defence Systems Pvt Ltd. Now, their holding in Pipavav has increased to nearly 35 per cent.

The open offer -- for acquiring an additional 26 per cent for up to Rs 1,263 crore -- was on from December 2 till December 15. Sources said that some large institutional investors including LIC decided to stay invested in the company and did not participate in the open offer.