Hexaware Technologies Limited considers delisting of its shares

The company had informed exchanges that the promoters are willing to buy equity shares at an indicative offer price of Rs285 apiece

Jun 12, 2020 03:06 IST India Infoline News Service

The board of directors of Hexaware Technologies conducted a meeting today to decide to delist of its shares. Its promoter entity-HT Global IT Solutions Holdings Limited had earlier expressed its intention to make a voluntary delisting offer.

As per the regulation, it is mandatory that the delisting proposal is approved by the board as well as the shareholders of the company. Moreover, the board can approve a delisting proposal only after the receipt of a due diligence report from a merchant banker. Hence, for this purpose, ICICI Securities was duly appointed by the board to make a report.

As on June 5, 2020, the company had informed that the promoters are willing to buy equity shares at an indicative offer price of Rs285 apiece, which was around 9.8% premium from the closing price of June 4, 2020. However, the stock of Hexaware from that day has rallied and thereafter, it is trading at Rs323 apiece today but this not the final price at which shareholders can tender their equity shares.

Voluntary delisting of equity shares will be carried out through a reverse book building in which the promoters are not allowed to participate. The final offer price shall be determined as the price at which the maximum number of shares has been offered.

Meanwhile, in the case of Essar Oil delisting, the initial offer was made at around Rs146 apiece but later, delisting happened at the final discovered price of Rs262.8.

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