DHL plans to delist Blue Dart, offers Rs 550/shr

The board of directors of Blue Dart Express, which met today, discussed and recommended the delisting proposal dated August 14, 2006 of DHL Express (Singapore) Pte (DHLSG).

According to a release issued by Blue Dart Express to the BSE today, an EGM has been called on September 20 to seek shareholder approval for the proposal.

"It is proposed that DHLSG will acquire the equity shares in the company not already owned by it pursuant to the Sebi delisting guidelines following which the securities of the company will be delisted.

"The exit price will be determined in accordance with the reverse book build process specified in the guidelines. Shareholders may tender their shares at any price at or above the floor price determined in the terms of the guidelines (being the average trade price of the company's shares as quoted on the stock exchange where the shares of the company are most frequently traded in the 26 weeks preceding the date of the public announcement of the delisting pursuant to the guidelines).

"The 26-week average price calculated as the August 14, 2006 was approximately Rs 500.

"DHLSG is prepared to acquire the shares offered to it at a maximum price of Rs 550 per share," the release added.

DHLSG reserves the right not to acquire the offered shares if the final price, as established pursuant to the guidelines, is more than Rs 550 per share, the release added.