Pharmaceutical company TTK Healthcare on Thursday said that it has received the necessary approvals to delist its equity shares from the National Stock Exchange (NSE), and BSE.
The floor price for the delisting offer was fixed at ₹1,051.31 per share, reflecting a discount of around 20 per cent from the stock's closing price on Wednesday.
TTK Healthcare has voluntarily decided to delist the company from the exchanges.
“The due diligence report dated April 20, 2023, submitted by A K Jain & Associates, practising company secretaries, a peer review company secretary firm, in terms of Regulation '10(3) of SEBI Delisting Regulations, was reviewed and taken on record by the board," said TTK Healthcare in its regulatory filing.
Delisted shares refer to the shares of a listed company that have been removed from the stock exchange permanently for buying and selling purposes.
That means delisted shares will no longer be traded on the stock exchanges – National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). The delisting of security can be voluntary or involuntary and usually results when a company ceases operations, declares bankruptcy, merges, does not meet listing requirements, or seeks to become private.
Recently, Sunil Singhania-owned Abakkus on Friday acquired stake in TTK Healthcare via open market transactions. Sunil Singhania led asset management firm Abakkus Asset Manager LLP bought 131,788 equity shares of TTK Healthcare at an average price of ₹911.08 apiece.
The company withdrew from its pharma business last year and now focuses on consumer product lines such as Eva women's deodorant, Good Home home care brand. Consequently, the management has chosen to delist the company, citing this as one of the primary reasons.
The share price of TTK Healthcare was trading nearly 1 percent higher at ₹1,321, while the stock rallied 52 percent in the past month.
