Mumbai: Bharati Shipyard said it has raised the open offer price for a stake in Great Offshore to Rs590 a share, a move that will intensify the battle for the oil rigs and offshore services provider.
Bharati Shipyard and rival ABG Shipyard Ltd are competing for a controlling stake in Great Offshore, with both companies revising bids several times over the past six months.
Bharati, India’s second largest shipmaker, had earlier quoted Rs560 a share for a 20% stake in Great Offshore.
At Rs590 a share, Bharati Shipyard would have to spend Rs462 crore to acquire 7.8 million shares of Great Offshore, Bharati Shipyard said in a statement.
The higher offer price has been approved by Bharati’s board, it said. The open offer will commence on 3 December and closes 22 December.
Bharati Shipyard holds 23.17% in Great Offshore through its subsidiary companies - Dhanashree Properties Pvt Ltd and Natural Power Ventures Pvt Ltd.
Earlier on Wednesday, Great Offshore Ltd saw four block deals on the Bombay Stock Exchange where 2.47 million shares, or 6.65% of equity, changed hands at a weighted average price of Rs571.39.
It also witnessed three block deals of 355,050 shares, or 0.96% of equity, at Rs566 on the National Stock Exchange.
However, it could not be immediately confirmed whether ABG Shipyard would also raise its open offer price from its current offer of Rs520 a share. ABG officials could not be reached for comment despite repeated attempts.
ABG Shipyard is looking to acquire 32.1% in Great Offshore. As of 30 September, the company held 6.84% in Great Offshore, stock exchange data showed.
Great Offshore shares, which were up more than 7% earlier in the day, pared gains to trade 1.39% lower at Rs537.50.
ABG Shipyard shares were up 7.18% at Rs202.25, while Bharati Shipyard was up 4.58% at Rs167.95 in the Mumbai market.