Mumbai, Aug. 10: Ingersoll-Rand (India) Ltd today joined the growing list of multinationals delisting from local stock exchanges.
Ingersoll has decided to convene an extra-ordinary general meeting on September 23 to consider the proposal to delist its shares from the stock exchanges in Mumbai, Ahmedabad and the National Stock Exchange. Following this, it will seek shareholders’ approval for the same.
The decision follows its parent’s move, Ingersoll-Rand Co, a leading diversified industrial firm, announcing its intention to purchase the publicly held outstanding shares of its Indian subsidiary.
Ingersoll-Rand, which holds a 74 per cent stake in Ingersoll-Rand India, is seeking total control of the company in a bid to consolidate its position here and provide increased operational flexibility to its businesses.
In accordance with Sebi’s delisting guidelines, Ingersoll-Rand Co intends to acquire the outstanding shares through a reverse book-building process. Shareholders of Ingersoll-Rand India may tender their shares to Ingersoll-Rand Co at a price at or above the “floor price” as determined by the Sebi guidelines. Ingersoll-Rand is prepared to acquire the shares at Rs 325 apiece subject to requisite approvals.