Elpro International Share Price Jumps 14.69% To Hit Fresh All-Time High After Promoters Propose Delisting At Rs 181.80 Per Share

Indian equity markets traded lower on Monday, with the benchmark Nifty 50 index declining 1.11 per cent to 23,907.20. Despite weakness in the benchmark indices, stock-specific buying interest continued in select counters. In this segment, Elpro International remained in focus after the company approved a proposal for voluntary delisting from the stock exchange. Elpro International's share price surged 14.69 per cent to Rs 165.11 on Monday.

Elpro International Approves Voluntary Delisting Proposal

Elpro International informed exchanges that the Board of Directors has approved the proposal for voluntary delisting of the company’s equity shares from BSE, subject to shareholder approval, stock exchange approvals and other regulatory clearances.

According to the filing, the delisting proposal was made by promoter group entities I G E (India) Private Ltd and Zenox Technology Services Private Ltd, along with persons acting in concert, Mr Surbhit Dabriwala and Mrs Yamini Dabriwala. The acquirers intend to acquire all public shareholding of the company and subsequently delist the equity shares from the stock exchange.

The company stated that the Board considered the due diligence report and share capital audit report before approving the delisting proposal. The Board also certified that the company and the acquirers are compliant with applicable securities laws and that the delisting proposal is in the interest of shareholders.

Delisting Price and Public Shareholding

As per the filing, the floor price for the proposed delisting has been fixed at Rs 158.07 per equity share in accordance with SEBI Delisting Regulations. The acquirers have proposed a fixed delisting price of Rs 181.80 per equity share, which is 15 per cent higher than the floor price.

The filing further stated that promoters and persons acting in concert currently hold 12.71 crore equity shares representing 75 per cent stake in the company, while public shareholders hold 4.23 crore equity shares representing 25 per cent stake.

The company will seek shareholder approval for the delisting proposal through postal ballot and remote e-voting process in accordance with SEBI Delisting Regulations and Companies Act provisions.

About Elpro International

Elpro International Ltd is engaged in the electrical equipment and Real Estate businesses. The company was originally involved in manufacturing lightning arresters and surge protection products and currently also operates through commercial real estate assets.

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Disclaimer: This article is for informational purposes only and not investment advice.