Siemens AG to make open offer for nearly 20 per cent in Indian arm
01 February 2011
Siemens Aktiengesellschaft, Germany will make an open offer for acquiring an additional 19.82 per cent stake in its Indian subsidiary, Siemens Ltd, for around Rs6,215 crore (around Euro 1 billion).
The offer is being made in connection with Siemens' key objective of expanding its current operations and investments in India in connection with its business strategy.
Siemens Ltd, in which the promoter group company Siemens AG currently holds 55.18 per cent stake, said the open offer is being made in accordance with the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 1997 and a public announcement to this effect made on 31 January 2011.
Siemens AG is making an open offer to the public shareholders of Siemens Ltd for acquiring up to 66,829,060 fully-paid equity shares constituting 19.82 per cent of the voting share capital at a price of Rs930 per equity share in order to consolidate its shareholding in the Indian arm.
The promoter group company currently holds 186,041,090 equity shares in Siemens Ltd, constituting 55.18 per cent of its voting rights.
Siemens Ltd has an issued, subscribed and paid-up equity share capital of Rs674,320,400 divided into 337,160,200 outstanding equity shares of the face value of Rs2 each. There are no partly-paid equity shares or other instruments convertible into equity shares as of date, the company said in a filing with the Bombay Stock Exchange and the National Stock Exchange.