The offer made by the promoters to delist the shares of Vedanta Ltd. has fallen through. Non-serious bidders are a dime a dozen in any bidding exercise, especially when it comes to project tenders – India’s power sector is a classic example. And these remained unconfirmed despite a four-hour extension. Who are these bidders who failed to confirm? India Inc has a number of examples of delisting offers having met with failure and thus this is nothing new or shocking. After all, public shareholders tendered 137.1 crore shares. The question now being asked here is whether the technical glitch was the only reason behind any non-confirmation of bids. Vedanta shares plunged as much as 20 per cent in mid-morning deals on Monday due to the miner's failure to buy back shares and delist itself, compelling it … Days Trial. A bird flies past the logo of Vedanta installed on the façade of its headquarters in Mumbai, January 2018. The delisting was sought to be done through a process of ‘reverse book-building’. Only at that level, the promoters’ holding could breach the 90% level as required by the rule in a delisting exercise. Gupta, the co-founder of the proxy advisory firm Stakeholder Empowerment Services, is surprised. Days Trial What went wrong? The story was playing out fairly on the expected line for the most part of the final day of the closure of the offer, i.e. The shares of Vedanta Limited are listed on the BSE Limited and the National Stock Exchange in India and its American Depository Receipts are listed on the New York Stock Exchange. Vedanta delisting failure: The options in front of shareholders. The rules say that the offer must have closed at the close of the trading hour. Reports have stated that a technical glitch in the bidding process could have caused a wrong result . But it turned topsy-turvy later in the day as the evening approached. The explanation being put forth is that a technical glitch in the tender process perhaps gave the game an unintentional result. Vedanta decided on a low price of ₹87.50. Your Reason has been Reported to the admin. October 9. On NSE, it tumbled 20.68 per cent to close at Rs 96.65. Vedanta chairman Anil Agarwal, in an interview with CNBC-TV18, said the company will go for a counteroffer for the buyback of shares "if need be". 15 Aditya Birla Sun Life Tax Relief 96 Direct-Growt.. Vedanta delisting failure: What brokerages say. This price is then widely communicated to the shareholders. Not because the offer fell through, which would be fine. This will alert our moderators to take action. At the moment, the only thing that is known officially is that the delisting offer has failed. The failure of the delisting offer is sentimentally negative for Vedanta. According to a Business Standard report, Vedanta Resources founder Anil Agarwal and the management committee of Vedanta Limited are scheduled to meet Monday (October 12) to discuss the next course of action after the latter failed in its delisting attempt on Friday. Officials, however, said the group's failed attempt at delisting Vedanta Ltd has come under the scanner of stock exchanges, regulatory authorities and the government after their public statements claimed that the delisting "would have resulted in FDI (Foreign Direct Investment) inflow of over USD 3.15 billion into the Indian economy and helped boost growth between 0.4 per cent and 0.8 per cent through … Vedanta chairman Anil Agarwal, in an interview with CNBC-TV18, said the company will go for a counteroffer for the buyback of shares "if need be". When contacted, Vedanta spokesperson refused to comment on the debt position or impact on revenues due to the shutdown of copper and iron ore businesses. That means that 12.31 crore shares weren’t confirmed. Shares of Vedanta on Monday plummeted nearly 21 per cent after the company’s delisting went from almost-a-success to failure on account of a large quantity of unconfirmed orders. Vedanta hit a lower circuit of 10percent at Rs 109.9 after the mining major on 10 October 2020 said that its delisting offer is deemed to have failed as per terms of delisting regulations. Vedanta Ltd's delisting went from almost-a-success to failure on account of a large quantity of unconfirmed orders, forcing the company to look for options to extend the buyback period by a day. In a regulatory filing, Vedanta said its buyback offer is deemed to have failed as […] Vedanta delisting: The group's failed attempt at delisting an India-listed entity has triggered a debate on rules concerning efforts by a foreign promoter to take an India-listed company private, with some officials questioning the 'FDI' tag used for such a move and the limited disclosures made through the official stock exchange route Get more India News and Business News on Zee Business. Shares of Vedanta on Monday plummeted close to 21% after the company’s delisting went from almost-a-success to failure, on account of a large quantity of … As analysts scratch their heads to understand why the delisting offer failed at the eleventh hour, a few questions have begun to be asked on how the entire process played out. Shares of Vedanta on Monday plummeted over 24 per cent after the company’s delisting went from almost-a-success to failure on account of a large quantity of unconfirmed orders. 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