Sheth-Mahindra combine bid at Rs 36
Mumbai: The Sheth family, which found a new ally in the Mahindra group in their ongoing war against the corporate raider, Renaissance Estates, have made a counter offer for 33.5 per cent of the equity of Gesco Corporation at Rs. 36 per share. This is against the open offer made by the Dalmia family, which controls Renaissance, at Rs. 27.

Following the news of the joint bid yesterday, the Gesco shares on the stock markets had flared to Rs. 41.20 in the hope of a bidding war between the two groups. The share was ruling at around Rs. 18 when the Dalmias’ first made their attempt at takeover.

As per the takeover code, Dalmia can withdraw his offer within 14 days of a counter offer from the existing promoters, or raise the stake till seven days before the offer closes.

According to reports, the Dalmia group is in no hurry to announce a price to counter the offer made by the Sheth-Mahindra combine. The family is understood to have gone into a conclave with its advisors to take stock of the situation.
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