Shares of rating agency ICRA Ltd today settled for the day with gains of 20 per cent and accordingly the market capitalisation of the company increased by Rs 318 crore.
After market trading hours on Friday, global rating agency Moody's said that it would make an open offer to raise its stake in the domestic rating agency.
Reacting to this development, shares of the company touched its 52 week high level of Rs 1,913 on the BSE. On the National Stock Exchange as well the stock surged 20 per cent to touch its 52-week high level of Rs 1,905.60.
Moody's said it would acquire an additional 26.5 per cent stake in the company through open offer at an open offer price of Rs 2,000 a share.
Pursuant to the rally in the stock, the market capitalisation of the company swelled by Rs 318 crore to Rs 1,913 crore.
Market analysts attributed the surge in the counter as a knee-jerk reaction to the Moody's open offer.
Moody's plans to acquire up to 2.65 million shares in ICRA, amounting to 26.5 per cent of the company's equity. If the open offer gets full acceptance, the shareholding of Moody's in ICRA Ltd would increase to 55 per cent.
The offer is being made by Moody's Singapore Pte Ltd, Moody's Investment Company India Private Ltd and Moody's Corporation.
