Texmaco may take control of Kalindee Rail by October

Saroj Poddar-led Texmaco Rail and Engineering Ltd may take control of Kalindee Rail Nirman (Engineers) Limited by October after the open offer closes by September-end.

"We are waiting for the open offer to complete before taking control," Texmaco chairman Saroj Kumar Poddar told PTI. "With an over-36.6 percent stake, we are at a comfortable position in Kalindee. But we want to be secured and so we are keen to hike our stake beyond 51 percent," Poddar said.

He said the company crossed a major hurdle after shareholders had approved special resolution through postal ballots to issue 24.9 percent fresh equity on a preferential basis to Texmaco. Texmaco had already bought the Kalindee promoters' 11 percent stake earlier.

Though Poddar expects that the open offer for an additional 30-percent stake will be a success, the same is not linked to taking control in the railway infrastructure company. Asked whether Texmaco will revise the open offer price from Rs 68 a share, Poddar said, "We have lot of time, we will decide later if required."

Jupiter Metal, which was also in the race to acquire Kalindee, had already made a counter-offer seeking to acquire 30 percent for Rs 70 apiece. The open offer from Texmaco at Rs 68 a share will remain open till September 26, unless extended further.