BANGALORE: Cement major, Zuari and Deepak Fertilisers have upped their ante to take control over liquor baron Vijay Mallya-led MCFL (Mangalore Chemicals and Fertilisers Limited). Deepak raised their open offer price to `93.60 per share averaging to `288.41 crore.
The takeover battle intensified after fair trade watchdog, Competition Commission of India (CCI) cleared the open offer launched by Zuari in September. CCI had earlier cleared the open offer by Deepak in August.
Zuari followed suit and teamed up with the United Breweries group (parent group of MCFL) to revise their open offer price to `81.60 averaging to `251.44 crore to buy an additional 26 per cent of stake in Mallya’s only profit making company, it was reported.
The take over battle has been going on for months with Deepak launching their open offer in April 2014 at `63 per share. Zuari and UB had countered this by launching an open offer in the following month (May) at share prices of `68.55.
MCFL shares were trading at `88.10 per share. Both parties had announced that their open offer will start on October 1-17 and the last date for upward revision was September 25.
Deepak holds 25.31 per cent, Zuari has 16.43 per cent and the UB group has 21.97 per cent stake. While the team of Zuari and UB would require around 12 per cent shares to take control of the company while Deepak would require around 25 per cent, it was reported.