Parry Agro to delist from SEs

Our Markets Bureau

Chennai, Dec 10: Chennai -based Parry Agro Industries Ltd, part of the Rs 3,900-crore Murugappa group of companies, has decided to delist its equity shares from the stock exchanges (SEs). This follows the promoters’ decision to buy back the floating stock from the market at a price of Rs 70 per share.

The company has notified the SEs about the decision and the shareholders would be informed latest by December 18.

Parry Agro is listed on The Stock Exchange, Mumbai (BSE), Madras Stock Exchange and the Cochin Stock Exchange.

A company spokesman told The Financial Express on Monday that the directors board of Parry Agro has decided to delist its shares from SEs. “The decision came in the wake of the promoters’ decision to buy back the remaining floating shares from the market at a premium,” he said. Promoters would offer Rs 70 per share to the public and others to buy back the shares. The company has arrived on the offer price based on the assessment done by the authorities concerned.

He said the promoters are holding close to 77 per cent in the venture, while others are holding 23 per cent stake. “The purpose of the open offer is to buy back the remaining shares by the promoters and delist it from stock exchanges. Parry Agro shares are not actively traded on the bourses,” the spokesman said.

The Parry Agro stock closed on BSE on Monday at Rs 49.40, up by 7.98 per cent. However, there was not much activity on the counter as the total shares traded was a paltry 11. The 52-week high of the stock was Rs 60 and 52-week low was Rs 26.70.

The company which is in the plantations business, especially tea plantations, was incorporated in 1977. Besides tea, Parry has business interests in coffee and had earlier decided to hive off its algai division to another group concern, Parry Nutraceuticals Ltd.

Parry Agro has closed the quarter ended September 30 with a sales of Rs 20.9 crore and clocked a net profit to the tune of Rs 2.09 crore. The earning per share of the company stood at Rs 5.56 and the total share capital is to the tune of Rs 3.76.