Government exercises oversubscription option of offer for sale of Bharat Dynamics Limited's shares

The Promoter, the President of India, acting through the Department of Defence Production, Ministry of Defence, Government of India ("Seller") had earlier proposed to sell up to 18,328,125 Equity Shares representing 10% of the total issued and paid-up Equity Share capital of Bharat Dynamics Limited (the "Company") having a face value of ₹ 10/- each ("Base Offer Size"), on September 8, 2020, ("T day") (for non-Retail Investors only) and on September 9, 2020 ("T+1 day") (for Retail Investors and for un-allotted non-Retail Investors who choose to carry forward their bids) with an option to additionally sell 9,164,063 Equity Shares (representing 5% of the total issued and paid up Equity Share capital of the Company) (the "Oversubscription Option" and in the event that the Oversubscription Option is exercised, the Equity Shares forming part of the Base Offer Size and the Oversubscription Option will represent 15% of outstanding Equity Shares of the Company, i.e. 27,492,188 Equity Shares, and will collectively, hereinafter be referred to as "Offer Shares"), in accordance with the SEBI OFS Circulars and the notices and circulars issued by the BSE and NSE, from time to time, in this regard (such offer for sale hereinafter referred to as the "Offer").

The promoter has now opted to exercise the complete Oversubscription Option to the extent of 5% of the total paid up equity share capital of the Company as on June 30, 2020 in addition to the Base Offer Size. Accordingly, the total Offer Size will be 15% of the total paid up equity share capital of the Company as on June 30, 2020.

Shares of Bharat Dynamics Ltd was last trading in BSE at Rs.331.15 as compared to the previous close of Rs. 384.5. The total number of shares traded during the day was 563636 in over 9784 trades.

The stock hit an intraday high of Rs. 341.4 and intraday low of 330.25. The net turnover during the day was Rs. 188984536.

Source : Equity Bulls

Keywords