DSK promoters' share to double

D S Kulkarni Developers Ltd (DSKDL) has joined the bandwagon of companies finding ways to increase the promoters' holding by proposing to merge Oyster Promoters and Builders, a private limited company owned by members of the promoter family Hemanti Kulkarni (nee Phadke) and Ashwini Deshpande (nee Kulkarni), into itself.

The proposal to merge Oyster Promoters with DSKDL, approved by the company's board on Tuesday, involves the issue of 38 lakh shares to the owners of Oyster (Hemanti and Ashwini - who are chairman Deepak S Kulkarni's wife and daughter respectively) at a swap ratio of 380 shares in DSKDL for every share held in Oyster.

The promoter family ,which presently holds a 21.39 per cent in DSKDL, will nearly double their stake to 39 per cent once the merger is through.

Another major chunk of the company's shares (33.5 per cent) is with foreign institutional investors, the rest with mutual funds, financial institutions and retail shareholders.