DFM Foods plunged by about 7 percent in early trade on 11 September after the open offer price for 1.3 crore shares came in at much lower than the current market price.
The US-based private equity firm Advent International Corporation has entered into a pact with the promoters of DFM Foods to acquire 67.9 percent stake in the Delhi-based firm for around Rs 851.6 crore in an all-cash deal.
AI Corp also launched an open offer for another 26 percent stake or around 1.30 crore shares of DFM Foods Ltd at a price of Rs 249.50 per share, according to regulatory filings by DFM Foods Ltd.
The open offer for 1.3 crore shares having a face value of Rs 2 each at an offer price of Rs 249.50 per equity share. However, it is lower than Rs 270.20 at which DFM Food shares closed on BSE on Monday.
AI Global Investments (Cyprus) PCC, a step-down firm, will buy 67.90 percent of the promoters' stake from the Delhi-based company for a total consideration of Rs 851.66 crore, said a PTI report.
Promoters hold 75.60 percent stake in DFM Foods, according to the regulatory filing.
The filings showed that the US investment firm has entered into a share purchase agreement with promoters Mohit Jain and Rohan Jain to acquire around 38 percent stake.
AI Corp has also signed a purchase pact with WestBridge Crossover Fund, LLC, Aravali Investment Holdings and Jwalamukhi Investment Holdings to acquire 12,460,585 shares, constituting 24.87 percent of the paid-up share capital and 24.79 percent of the expanded voting share capital.
The PE firm will buy 2,500,000 equity shares, constituting 4.99 percent of the share capital from Manmohan Singh and Anuradha Sharma.
Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
