ABB ups stake in Indian unit to 75 percent
By siliconindia | Thursday, 29 July 2010, 09:28 Hrs
Bangalore: Power and automation technologies provider ABB has successfully completed the open offer to increase its stake in its Indian subsidiary from 52.11 to 75 percent. During the three-week offer period, shareholders of ABB India tendered approximately 23 percent of the outstanding shares, said the company in a statement. The offer has been oversubscribed by approximately 1.5 percent and ABB said it would acquire the shares on a proportionate basis. The offer of 900 per share, which was announced on May 17, 2010, values the transaction at approximately $965 million. HSBC Securities and Capital Markets managed the open offer. As per stock exchange data, Life Insurance Corporation of India (LIC) tendered just over half of its 8.33 percent stake in ABB (176,54,869 shares) in the open offer. General Insurance Corporation of India (GIC) tendered about 45 percent (one million shares) of the 2.208 million shares in the company.