Linde India hits lower circuit; delisting rejected

Linde India, the first company opting to delist under the new delisting guidelines introduced by SEBI, has received a letter from the BOC Group (promoter/acquirer) stating that the delisting offer has failed to materialise.

For the delisting process, through RBB, the promoter group has to acquire the shares of the non-promoter group at a discovered price. If the promoters do not agree with this price then they have an option to give counter offer which if agreed by non-promoters, delisting can take place.

In case of Linde India, as per the terms of Regulation 15(1) read with Schedule II of the Delisting Regulations, the discovered price was at Rs. 2,025 per equity share. However, the BOC Group along with Linde Holdings Netherlands decided to reject this discovered price. Also, it has faced some technical problems to place its counteroffer.

Thus, the delisting process has failed to get through and BOC Group has stated that it will publish this announcement in the newspapers on January 25, 2019.

On Thursday, the stock of Linde India got closed at Rs. 712 per share. It opened gap down and hit lower circuit of 20 per cent at Rs. 569.60. In the morning trading session, it recovered a bit and made intra-day high of Rs. 612.80.