Mangalore Chemicals surges on takeover speculation
Beleaguered billionaire Vijay Mallaya who also owns Kingfisher Airlines and recently sold a majority stake in United Spirits to Diageo Plc., is staring at the prospect of a substantial dilution of control in Mangalore Chemicals & Fertilisers (MCF)
MCF shares have surged a whopping 72 % since June 1st, compared with a 2.8 per cent fall in the Nifty during the same period on speculation that Zuari Agro and Deepak are competing to buy the company.
Zuari Fertilisers, a unit of Zuari Agro Chemicals has bought a 3.49 % stake in MCF in the open markets, according to bulk trade data from the NSE on Wednesday, taking its total stake in the company to 13.2 %.
Meanwhile, Deepak Fertilizers has recently increased its stake in MCF to nearly 24.5 %.
Earlier in April 2013, Dabur scion Mohit Burman had joined fertiliser maker Saroj Poddar in declaring his interest in increasing stake in the company. Burman’s Guardian Advisors, which owned about 10.95% in the company, increased its stake to 11%.
So, the stage seems all set for an exciting takeover battle. As to who the winner will be, time will tell.