Ashok Parmar ups Videocon pie to 11%

Ashok Parmar, the high networth individual, claimed that he has hiked his stake in the Venugopal Dhoot-controlled Videocon Appliances by a per cent to 11 per cent.

Talking to Business Standard, Parmar said that he has purchased additional shares, representing one per of the paid up equity of Videocon Appliances, for the last few days to raise his holding to 11 per cent.

"I have put in investment of nearly Rs 1 crore to hike my stake," he said adding that the promoters have also been purchasing shares of the company ever since his acquisition was brought to the light.

The trading activities at the Videocon Appliances on the BSE shot up to 3.81 lakh shares on September 20 from 78,848 on September 15, when his acquisition was made public. The trading volume on September 21, 22 and 23 was 2.91 lakh shares, 1.23 shares and 1.97 lakh shares, respectively.

Price of the stock also rose, in tandem with the volume. The stock closed at Rs 24 on September 20, Rs 24.85 on September 21, Rs 25 on September 22 and Rs 25.20 on September 23.

When contacted, Videocon Appliances chairman Venugopal Dhoot said the promoters did not purchase a single share from the market as they already command over the majority stake. He said the promoters directly hold 33 per cent. The combined holding of the promoters, taking that of the persons acting in concert, was 51 per cent, he added.

Parmar said he would continue to scale up his stake till his demand of a seat on the board would be honoured. He claimed his acquisition of shares in Videocon Appliances would unlock the value of the stock.