The company acquired 13.25 lakh shares of Manaksia Limited, which, too, jumped about 6 percent in the morning trade. The acquisition has increased Manaksia Steel's shareholding in Manaksia Limited to 6.10 percent from 4.08 percent.
Shares of Manaksia Steels were locked in their 10 percent upper circuit at Rs 10.93 in the morning trade on BSE on September 17, a day after the company announced the acquisition of shares of Manaksia Limited.
Shares of Manaksia jumped about 6 percent in the morning trade on BSE.
"The company has acquired 13.25 lakh shares of Manaksia Limited on September 16 through market purchase. Consequent upon the aforesaid acquisition, the revised shareholding of the company in Manaksia Limited has been increased from 4.08 percent to 6.10 percent," Manaksia Steels said in a regulatory filing.
The shares were acquired at Rs 39.65 per share and at a total consideration of Rs 5.27 crore.
The company said the shares were acquired through market purchase at the available price and accordingly the transaction was not a related party transaction.
"Manaksia Steels Limited is a promoter group company of Manaksia Limited. Promoter and promoter group of Manaksia Steels are also among the promoter/promoter group of Manaksia Limited and as such the promoter/promoter group of Manaksia Steels have an interest in Manaksia Limited," the regulatory filing said.The promoter’s holding in Manaksia Limited has been increased from 72.91 percent to 74.93 percent due to this acquisition