TTK Healthcare shares fell more than 4% on the day after the company’s board approved the voluntary delisting of shares from the stock exchange. In a regulatory filing, the Chennai-based company on Thursday said its board had passed a special resolution seeking shareholder approval for the proposed delisting.
According to the filing, the company has set a floor price for the delisting offer of Rs 1,051.31 per share, 24% below the closing price of Rs 1,308.95 per share on the NSE on Wednesday. The discounted offer price did not suit investors and TTK Healthcare’s share price fell to an intraday low of Rs 1,251 per share on NSE. However, it ended the day at ₹1,309.80 each, slightly above Wednesday’s closing price.
On April 5, Woodward producer Gripe Water announced that its promoters had proposed to buy back all equity shares held by public shareholders and to file for voluntary delisting. their shares. The company’s share price rose to a high of Rs 1,474 per share the next day.
chance to escape
As of March 2023, the share of the promotion team is 74.56% of the company’s paid-out share capital. In their proposal, TTK Healthcare’s promoters said the delisting was to provide an “escape” for public shareholders. “Promoters believe that instead of subjecting public shareholders to uncertainty, it would be fair to provide them with an opportunity to withdraw through an offer to delist,” the company said in the proposal. cancel your listing.
According to the latest filing, voting on the proposed delisting via electronic means/postal voting form will be open from April 23 to May 22 and the voting results will be announced. on May 24th.
In March 2022, TTK Healthcare announced that its board of directors had approved the sale of its human pharmaceutical business to BSV Pharma for ₹805 crore. The company added that after leaving the human pharma business, it is left with a series of consumer product lines with single-digit margins. It added: “In a highly competitive environment as well as B2B and white label businesses require distinct attention and substantial cash outflow.