SMC Subscribes To MULs Entire Rights Issue

New Delhi, May 30: | Updated: May 31 2002, 05:30am hrs
Suzuki Motor Corporation (SMC) has subscribed to the entire portion of Maruti Udyogs rights issue of Rs 399 crore which has raised Japanese partners stake in the company to 54.2 per cent from the present level of 50 per cent. The governments equity holding in the company has come down to 45.60 from 49.74 per cent.

The issue size was reduced by one crore as the Maruti Employees Mutual Fund did not subscribe to the issue which closed on Thursday, bringing down its holding to 0.20 per cent from 0.26 per cent.

Suzuki Motor Corp has subscribed to 1.2 million shares in the rights issue at a price of Rs 3,280 per share. In the second step of disinvestment, the government would offload the remaining stake in two tranches through an initial public offering (IPO) to exit the venture entirely by March 2004.