Delisting may occur in Saint-Gobain at Rs 75-80: Tulsian

Delisting may occur in Saint-Gobain at Rs 75-80, says SP Tulsian, sptulsian.com.

Tulsian told CNBC-TV18, “Saint-Gobain, they will be not given the higher price but if you see the total float of about 15% plus and the market cap of close to about Rs 550 crore they will be requiring even if I presume that the price is discovered at Rs 77 which infact in my view is the realistic price at it is likely to get discovered they will be requiring less than a Rs 100 crore for initiating this delisting and the delisting is must for Saint-Gobain because they have recently acquired the float glass unit of Sezal Glass also for Rs 600 crore.”
He further added, “If one sees the financial performance of this listed company, top line of Rs 100 crore with bottom-line of close to about Rs 5-6 crore is not really the company for their size and profile. So obviously they have very good plans of expanding in auto and float glass both the sectors because of this merger and corporate restructuring. So delisting has to go through and I am expecting that to get happened at about Rs 75-80 and Rs 31 is just sake of formality for indicating a floor price.”