Prabhat Dairy hits upper circuit on delisting plan

Prabhat Dairy Limited on Friday informed that some of their promoters expressed their willingness to acquire 49.90 per cent of the paid-up equity shares capital that are presently held by public share holders. Cheering this news, shares of Prabhat Dairy surged 20 per cent to hit upper circuit limit at Rs. 78.15 on BSE.

Prabhat Dairy Limited has received letter from Sarangdhar Ramchandra Nirmal, Vivek Sarangdhar Nirmal, Madhyam Farming Solutions Private Limited and Nirmal Family Trust. The members of promoter and promoter group have expressed their intention to acquire 4,87,40,547 fully paid-up equity shares of the company representing 49.90 per cent of paid-up equity share capital for the shareholders and then go for voluntary delisting. According to the stock exchange notification, Prabhat Dairy currently holds 50.1 per cent stake.

Prabhat Dairy Limited is an integrated milk and dairy products company in India. The company sells products under its retail consumer brands as well as ingredient products or as co-manufactured products to a number of institutional and multinational companies. It produces fresh, dry, frozen, cultured and fermented dairy products.

On Friday, the stock of Prabhat Dairy Limited opened at Rs. 78.15 per share and made an intraday high and low of Rs. 78.15 and Rs. 78.00, respectively on the BSE. At closing hour, the stock was trading at Rs. 78.15, up by 19.95 per cent.