Gold Silver Reports (GSR) – Electrosteel Steels Surges On Detailing steps for acquisition by Vedanta – Shares of the debt-ridden steel producer rose as much as 4.42 percent to Rs 1.18. Electrosteel Steels spelled out steps to be taken for completion of its takeover by Vedanta Star and subsequent delisting from stock exchanges.
Since the liquidation value of the company as determined by the Resolution Professional is not sufficient to cover the debt of financial creditors in full, hence the liquidation value of the company in the hands of equity shareholder is nil, the company said in an exchange filing.
“On completion of Transaction Steps, Vedanta Star will make the delisting offer to the then shareholders of the company. The equivalent per share exit price post completion of Transaction Steps is Rs 9.54 per equity share (Post-capital Reduction Price),” Electrosteel Steels added. – Neal Bhai Reports
