Media Release
Reverse Book Building - Offer for Delisting
Mumbai : October 16, 2020: The Exchange has enabled the facility of acquisition of shares by Companies, pursuant to Tender-Offers under Takeovers, Buy Back and Delisting on its platform called 'IBBS' with effect from July 1, 2015. Till date the Exchange has completed 484 issues successfully on this platform including 38 issues of Delisting in accordance with SEBI guidelines.
Retail and Institutional Investors can participate and tender their shares in offer of delisting through exchange members. All offers once entered are updated on Exchange website and displayed real time for them to view the same. For Institutional offers, the offers are displayed as “unconfirmed” offers till their custodians confirm the same on this platform. Once custodians confirm the valid offers, their status changes to “confirmed” bids/offers. At times, Trading Members may enter duplicate offers or erroneous offers etc in for various reasons like incorrect client codes, custodian codes, quantity etc.
As per SEBI (Delisting of Equity Shares) Regulations 2009 Schedule II (5), Trading Members cannot modify and cancel offer on the last day of bidding. Therefore, if an offer is not confirmed by the custodian, their status remains “unconfirmed” and they get rejected at the end of the day.
In the recent case of delisting of Vedanta Ltd, the Exchange received 74,413 number of offers from October 5 to October 9 for 137.78 Crores shares. The day wise offers received by the Exchange for delisting offer of Vedanta are given as under:
|
Offers Received During the Bidding Period
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No. of Offers
|
No. of Shares
|
|
Oct 5th to Oct 8th, 2020
|
24,908
|
73,76,06,523
|
|
On Oct 9th, 2020
between 09:15 am to 11:30 am
|
16,974
|
50,46,81,280
|
|
On Oct 9th, 2020
between 11:30 am to 03:30 pm
|
29,187
|
13,15,98,155
|
|
On Oct 9th, 2020
between 03:30 pm to 07:00 pm
|
3,344
|
40,03,372
|
|
Total
|
74,413
|
137,78,89,330
|
Out of these offers, 15 offers for 12.31 Crores shares remained unconfirmed by the custodians. These were institutional Offers. However, these 15 offers for 12.31 Crores shares remained “unconfirmed” and got rejected at the end of the day, on the last day of bidding as per the process.
The Stock Exchange Members who wanted to place the offers on behalf of their client on the BSE platform ensured that their offers were validly entered. There was no disruption in the bidding/ offer platform and that it continued unhindered during the entire day despite a deluge of bids/ offers on October 09.
The final valid offers received in the Delisting offer were 74,398 for 125.47 crore shares. Thus, delisting couldn’t be completed.
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Media Contact:
Yatin Padia / Rahul Vyas/ Shruti Nitesh
022 2272 8516 / 2272 8472/ 8108000974
Yatin.padia@bseindia.com/ Rahul.vyas@indiainx.com/ shruti.nitesh@adfactorspr.com