Orient Ceramics makes open offer for Bell Ceramics

Orient Ceramics and Industries Ltd has made an open offer to shareholders (other than promoters) of Bell Ceramics to acquire an additional 20 per cent equity in the latter.

The open offer follows Orient Ceramics' agreement to acquire 62.33 per cent stake in Bell Ceramics, consisting of 75,87,709 equity shares belonging to Shiv Kumar Jatia, the promoter of the company. (See:  Orient Ceramics to acquire majority stake in Bell Ceramics for Rs15.85 crore)

Bell Ceramics has a total issued, subscribed and paid-up equity capital of Rs12,17,38,070, consisting of 1,21,73,807 equity shares of face value Rs10 each. The offer is computed on the basis of the issued equity capital
Of Bell Ceramics, Orient Ceramics said.

Orient Ceramics & Industries Ltd, a listed company, said it has fixed the offer price at Rs24.95 per equity share payable in cash as per SEBI (Substantial Acquisition of Shares and Takeovers) Regulations.

The offer will open for subscription on 10 November 2010 and close on 29 November 2010.  

Centrum Capital Ltd is manager to the offer, acting on behalf of Orient Ceramics And Industries Ltd along with Mahendra K Daga, Sarla Daga, Freesia Investment and Trading Company Ltd and Morning Glory Leasing And Finance Ltd.

The transaction will, however, be subject to the acquirer obtaining all approvals under foreign exchange laws, including approval from the Reserve Bank of India and the Foreign Investment Promotion Board if any.

Bell Ceramics reported a net loss of Rs6.37 crore on net sales of Rs153.30 crore in the 2009-10 financial year.