In Friday’s trading on the BSE, shares of Lotus Chocolate soared to reach the upper circuit level of 5%, reaching 156 each. The reason being the open offer by reliance to acquire an additional 26% share in the company
Two members of the Reliance group, Reliance consumer product limited (RPCL) and Reliance retail ventures (RRVL) on the noon of friday announced that they are making an open offer to lotus chocolates to acquire an additional 26% in the entity. The firms will be acquiring 33.38 lakh shares of lotus chocolates from the open Market at a price of Rs 115.5 per share conveyed by a notice by DAM Capital, which is managing the deal
According to an open offer-detailed public statement shared by the company with stock exchanges on Thursday, the offer will total up to a total consideration of Rs 38.56 crore over the full acceptance.
A public notice have stated that the open offer will start on February 21 and will be closing on march 6
The shares of the chocolate brand which manufacturers chocolates, cocoa products, and cocoa derivatives jumped to Rs 149 a share which was the highest price in the last three months, however today the share rallied to Rs 156.80 after the announcement of the deal
Reliance consumer product limited (RCPL) is an FMCG arm that is a wholly owned subsidiary of Reliance retail ventures ltd (RRVL)
The open offer comes after RCPL announced last week that it would purchase a 51% stake of the paid-up equity share capital of Lotus from the current promoter and promoter group for a total of Rs 74 crore at a price of Rs 113 per share.
