Max Ventures zooms up over 18%

By Research Desk
about 7 years ago

Yesterday, after market closure, Max Ventures announced that its Board has approved selling 22.5% to a subsidiary of New York Life Insurance, which is the largest mutual life insurance company in the United States and one of the largest life insurers in the world, with more than USD 500 billion under management.

This 22.5% stake will be sold at an offer price of Rs 78 per share aggregating to Rs 121 crore on a diluted basis.

The board also proposed an allotment of share warrants to the promoter group equivalent to 4.76% of the post-issue share capital of the company on a fully diluted basis assuming full conversion of the warrants. These share warrants will be issued at Rs.78/warrant aggregating to Rs 26.9 crore and will be convertible into equivalent equity shares within 18 months, taking the shareholding of the promoter group in Max Ventures to around 38.02% on fully diluted basis.

Max Ventures came into existence after it was demerged from the Max India Group, along with Max Financial Services and Max India. This company has four verticals – manufacturing, realty, education and intellectual & financial support.

The market is thrilled with this development and the stock price rose 18% to Rs.79.15. Its 52-week is not too far away at Rs.85.80.

Popular Comments

No comment posted for this article.