NEW DELHI: The Board of Directors of Adani Power Ltd (APL) on Monday approved a proposal to delist the company from the stock exchanges. The proposal had been first introduced by one of APL’s promoter companies — Adani Properties Private Ltd (APPL) — late last month. The company will now seek its shareholders nod on the proposal through a postal ballot, the company said in an exchange filing.
APPL had proposed a floor price of Rs 33.82 per share, and would pick up buy 96.53 crore equity shares currently with the public for about Rs 3,264 crore. APPL had said it intends to, “either by itself or together with other members of the Promoter Group”, acquire all the equity shares of APL. Shares of the company had closed at Rs 38.20 a piece on BSE on Monday, up 0.53 per cent from the previous close.
According to data on the stock exchanges, the promoter group collectively holds 289,16,12,567 equity shares of the company representing 74.97 per of the paid-up equity share capital, while public shareholders control the rest of the 25.03 per cent.
While the proposal had first been taken up by the Board early this month, there had been no final decision taken. Instead, the Board had appointed a merchant banker to evaluate a proposal and conduct all due diligence. “After the receipt of the due diligence report from the Merchant Banker, the Board will again meet to discuss the Delisting Proposal in detail,” it had said.
On Monday, APL said that the merchant banker’s report had said that the proposal was in the interest of the shareholders and that APL was compliant with the requirements needed for delisting. Consequently, it said that its Board had approved “the delisting proposal and consequent voluntary delisting of equity shares of the company from stock exchanges subject to receipt of approvals.”