Ballarpur Paper Holdings terminates Share Sale Agreement

With reference to the earlier letter dated May 25, 2016 for sale of 50% equity stake in Sabah Forest Industries Sdn. Bhd., Malaysia (SFI) by Ballarpur Paper Holdings B.V. (BPH), a step down subsidiary of the Company and holding company of SFI to M/s Pandawa Sakti (Sabah) Sdn. Bhd., Malaysia (Buyer) pursuant to the Share Sale Agreement (SSA) wherein the Company had extended the Long Stop Date (LSD) upto June 30, 2016, based on request of the Buyer.

Jul 06, 2016 09:07 IST India Infoline News Service

With reference to the earlier letter dated May 25, 2016 for sale of 50% equity stake in Sabah Forest Industries Sdn. Bhd., Malaysia (SFI) by Ballarpur Paper Holdings B.V. (BPH), a step down subsidiary of the Company and holding company of SFI to M/s Pandawa Sakti (Sabah) Sdn. Bhd., Malaysia (Buyer) pursuant to the Share Sale Agreement (SSA) wherein the Company had extended the Long Stop Date (LSD) upto June 30, 2016, based on request of the Buyer.
Ballarpur Industries Ltd has announced that since the transaction has not been consummated within the above LSD, BPH has terminated the SSA and is invoking the Performance Guarantees of USD 50.0 Million furnished by the Buyer.

Ballarpur Industries Ltd ended at Rs. 16.7, up by Rs. 0.2 or 1.21% from its previous closing of Rs. 16.5 on the BSE.
The scrip opened at Rs. 16.6 and touched a high and low of Rs. 16.9 and Rs. 16.4 respectively. A total of 1882756(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 1094.69 crore.
The BSE group 'B' stock of face value Rs. 2 touched a 52 week high of Rs. 21.8 on 01-Jan-2016 and a 52 week low of Rs. 11.8 on 29-Feb-2016. Last one week high and low of the scrip stood at Rs. 16.95 and Rs. 15.55 respectively.
The promoters holding in the company stood at 49.43 % while Institutions and Non-Institutions held 26.14 % and 24.43 % respectively.
The stock traded above its 50 DMA.

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