Patni Computer surges 8%; iGATE initiates delisting process

Yesterday iGATE Corporation (iGATE) said that it has initiated the delisting of Patni Computer Systems, its Indian subsidiary, reports CNBC-TV18.

The delisting is subject to the approval of the Patni shareholders and regulatory approvals. If consummated, the purchase of the ordinary shares of Patni in connection with the delisting will be carried out in accordance with the delisting regulations of the Securities and Exchange Board of India (SEBI).

What this means is that individual shareholders of the company can quote what price they want to sell their shares at. The floor price for this process is Rs 356.74 per ordinary share, which is at a 9% discount to the current market price.

Also Read - iGATE to launch process to delist Patni

Patni Computer Systems touched an intraday high of Rs 459 and an intraday low of Rs 384. At 09:16 hrs the share was quoting at Rs 422.00, up Rs 33.35, or 8.58%.
 
It was trading with volumes of 30,382 shares. In the previous trading session, the share closed up 3.78% or Rs 14.15 at Rs 388.65.

Currently holding in Patni:

iGate around 80.4%
ADR around 5.12%
Public around 12.5%
ESoPs around 1.91%