Transworld Holdings Ltd has made a counteroffer at Rs 400 a share to buy the shares held by the public in its Indian subsidiary Shreyas Shipping & Logistics Ltd after the price discovered through the reverse book building process came in at Rs890 a share.
Transworld Holdings had previously announced its intention to acquire shares of Shreyas Shipping & Logistics at Rs375 a share compared to the Rs292 a share floor price determined per the delisting regulations of the market regulator, Securities and Exchange Board of India (SEBI).
The bidding period for reverse book building ran between 20 and 26 September in which the Company secured 90 percent of the total issued capital at a price of Rs890 a share.
“Transworld Holdings has decided to reject the discovered price and make a counteroffer at a price of Rs400 a share,” the Company said in a regulatory filing.
According to SEBI Delisting Regulations, the counter-offer price made by Transworld Holdings is above the book value of the company of Rs373.48 a share as on 30 June.
The counteroffer shall be deemed to be successful only if the cumulative number of the equity shares held by Transworld Holdings and the other members of the promoter group together with the equity shares acquired under the counteroffer to be equal to or in excess of such number of equity shares constituting 90 percent of the total equity share capital of the Company.
Currently, Transworld Holdings along with its affiliates holds 1,54,66,650 equity shares aggregating to 70.44 percent of the paid-up equity share capital of Shreyas Shipping & Logistics.
The move to delist the shares of Shreyas Shipping & Logistics Ltd, which owns and operates container feeder ships, comes two years after global port operator DP World’s majority-owned subsidiary Unifeeder ISC FZCO acquired 100 per cent of Avana Logistek Ltd (including its subsidiary Avana Global FZCO) and Transworld Feeders Pvt Ltd (the containerised Indian coastal and EXIM feeder shipping operations of Mumbai-listed Shreyas Shipping & Logistics Ltd, excluding its container vessels and bulk ship operations).
