Marg locked at 10% upper circuit on SAT order

Marg shares were locked at 10 percent upper circuit Thursday, after the Securities Appellate Tribunal (SAT) allowed Akahya Infrastructure to withdraw open offer for acquiring stake in the company.

SAT has set aside Sebi's letter wherein it had declined the request of Akshya to withdraw the open offer warning the company and MARG’s promoters of penal action if it did not go ahead with the offer.

In October 2011, Akshya had made open offer to the MARG shareholders so as to give them an opportunity to exit if they desired. The open offer was made to acquire 20 percent stake in MARG to consolidating the company's holdings.

However, due to the long lapse of time in securing Sebi's approval for the open offer the company had sought regulator’s approval to withdraw the offer but that was not granted.

Akshya had filed the "draft letter of offer" with Sebi along with relevant documents in October 2011.

At 13:22 hours IST, the stock was quoting at Rs 19.30, up by Rs 1.75 amid large volumes. There were pending buy orders of 6,796 shares, with no sellers available.

(With inputs from PTI)