DHL fixes Blue Dart share sale price at Rs 1,720 apiece, stock soars 20%

Written by Press Trust of India | New Delhi | Updated: Nov 23 2012, 08:26am hrs
DHL Express (Singapore) has fixed a price of R1,720 per share a discount of 16% to Thursdays closing price for sale of 6.03% stake in its subsidiary, Blue Dart Express.

The stake sale on Friday could fetch the company at least Rs 246.29 crore. With reference to earlier announcement...regarding offer for sale of shares by promoter, DHL Express (Singapore) has now informed the BSE that floor price for the sale of shares shall be R1,720 per equity share," it said in a filing to the BSE.

DHL Express (Singapore), which holds a 81.03% stake in Blue Dart Express as on end of September, will sell 14.32 lakh shares in the company on Friday. In a notice of offer for sale on Wednesday evening, Blue Dart had said the sale of 14,31,937 shares would take place on separate windows of both the BSE and the NSE on November 23.

The sale process will start at 9.15 am and close on the same day at 3.30 pm. Following the announcement of the offer for sale, Blue Dart's shares hit the upper circuit limit on the BSE on Thursday, to settle at R2,056.56 apiece, up 20% over the previous closing.

The seller shall declare the floor price for the sale on November 22 after closure of the trading hours of the stock exchanges, but not later than 5 pm. Orders or bids below the floor price shall not be accepted and will not be considered for allocation," it had said.

Sebi, earlier this year, made it mandatory for the promoters of listed companies to prune their holding to a maximum of 75% by June next year so that a minimum 25% public shareholding can be maintained in listed private companies.

Blue Dart said a minimum of 25% of the offer will be reserved for allocation to insurance companies and mutual funds. No single bidder, other than mutual funds and insurance companies, shall be allocated more than 25% of the size of the sale, the document had said.