In a filing to the BSE, MCFL today informed that market regulator SEBI in its letter to merchant bankers of Deepak Fertilisers and Zuari group, has directed that the open offer can commence within 12 working days from the receipt of approvals from the Competition Commission of India (CCI).
SEBI, said: "The tendering period for the open offer may commence not later than 12 working days from the receipt of CCI approvals, whichever is received later".
JM Financial is the merchant banker for Deepak Fertilisers, while ICICI Securities and Ambit Corporate Finance are merchant bankers for Zuari group.
The payments to all shareholders can be made within 10 working days from close of the open offers and any upward revision in the offer price can be made three days before the commencement of open offers, SEBI added.
SEBI's letter was in response to a letter by JM Financial dated July 17 requesting for extension of tendering period pending receipt of CCI approvals.
JM Financial said that both the open offers are subject to receipt of approval from CCI.
Earlier this week, SEBI had given its go-ahead to the two rival bidders who have made offers for acquisition of additional stakes in MCFL.
Deepak Fertilisers and Zuari Fertilisers, among which the latter has been joined by the existing promoters of MCFL as 'persons acting in concert', had filed draft offer documents on May 8 and May 27 respectively.
The battle for MCFL started in April last year when Zuari Fertilisers bought about 10 per cent in the company from SBI group entities in the open market.
Deepak Fertilisers followed with acquisition of a 24.46 per cent stake in MCFL in July 2013. Zuari group further hiked its stake to 16.43 per cent in the same month.
Zuari, Deepak Fertilisers and MCFL compete with each other in the fertiliser business, but a huge debt burden of the Mallya-led group had triggered a takeover battle for MCFL.
In April this year, Deepak Fertilisers raised its stake in MCFL to 25.31 per cent and announced an open offer to buy an additional 26 per cent stake at Rs 63/share for Rs 194 crore.
To ward off hostile takeover bid by Deepak Fertiliser, UB Group joined hands with the Zuari group and announced a counter open offer, giving 9 per cent more than their rival.
Zuari group offered to buy a 26 per cent stake in MCFL for Rs 68.55 apiece for Rs 211.22 crore.
Shares of MCFL today closed 1.17 per cent down at RS 71.70 apiece on the BSE.