Promoters of Icra, an investment information and credit rating agency, on Friday announced acquiring 26.5% stake in the company via a conditional open offer.
According to stock exchange announcement, those acting in concert — Moody’s Singapore Pte, Moody’s Investment Company (India) and Moody’s Corporation — have offered to buy 26.5 lakh shares in the Delhi-based rating agency at a price of Rs 2,000 per share. The offer price is 26.47% premium to the Friday’s closing price and values the deal at Rs 530 crore.
The Icra stocks settled 5.25% (Rs 79.55) higher at Rs 1,594.20. Trade volume spiked 3.5 times. About 14,518 shares were traded on BSE and NSE on Friday compared with 30-day average volume of 4,191 shares. In last 52 weeks, the stock has touched a high of Rs 1,694 and low of Rs 938.10.
The deal comes with a condition that promoters will not accept any shares if the number of shares tendered is lower than 21.491 lakh in the offer. “This offer is a conditional offer and is subject to a minimum level of acceptance of 21.49 lakh shares (representing 21.5%) of the voting share capital. If the number of shares tendered is less than 21.49 lakh, the buyer shall not accept any shares tendered,” said the announcement.
If successful in acquiring shares, promoter’s holding in Icra will increase to 55.01% from 28.51% as on quarter ended December 31. Citigroup Capital Markets is the sole advisor to the deal.