Description

Open offer by Pareshbhai Gushabhai Satani and family members to acquire up to 52 lakh equity shares (26% of expanded capital) of Deccan Bearings Limited at ₹10 per share.

Summary

The Satani family, led by Pareshbhai Gushabhai Satani along with three other acquirers and six persons acting in concert (PACs), has launched an open offer to acquire up to 52,00,000 equity shares representing 26% of the expanded voting capital of Deccan Bearings Limited. The offer price is set at ₹10 per equity share of face value ₹10 each. The offer is being made to all public shareholders including existing public shareholders holding 4,28,622 shares and proposed preferential allottees being allotted 50,52,239 equity shares.

Key Points

  • Acquirers: Pareshbhai Gushabhai Satani, Tanuj Pareshkumar Satani, Chirag Ramjibhai Satani, and Ramjibhai Gushabhai Satani
  • Persons Acting in Concert (PACs): 6 family members including Satani Karan Vitthalbhai, Satani Purvi Vitthalbhai, Satani Arunbhai Ravjibhai, Satani Ashwinbhai Ravjibhai, Manoj Dhanjibhai Satani, and Paras Dhanjibhai Satani
  • Offer Size: Up to 52,00,000 equity shares (26% of expanded capital)
  • Offer Price: ₹10 per equity share (face value ₹10)
  • Target Company: Deccan Bearings Limited (CIN: L29130MH1985PLC035747)
  • Public Shareholders Affected: Total 54,80,861 shares (existing 4,28,622 + preferential allottees 50,52,239)
  • Registered Office: 103, B Wing, Ansa Industrial Estate, Saki Vihar Road, Sakinaka, Andheri (East), Mumbai 400072

Regulatory Changes

This open offer is being conducted in compliance with SEBI (Substantial Acquisition of Shares and Takeovers) Regulations. The Letter of Offer represents a formal public announcement for takeover, triggering mandatory disclosure and offer requirements under securities law.

Compliance Requirements

  • For Public Shareholders: Shareholders who wish to tender their shares must review the Letter of Offer and submit the Form of Acceptance-cum-Acknowledgement through the designated process
  • Recent Sellers: Shareholders who have recently sold their equity shares must hand over the Letter of Offer and accompanying forms to the purchaser or the stock exchange member through whom the sale was effected
  • Consultation: Shareholders requiring clarification should consult their stockbroker, investment consultant, Manager to the Offer, or Registrar to the Offer
  • Tendering Period: Shares can be tendered during the specified tendering period, with the offer size calculated as of the 10th working day from closure of the tendering period

Important Dates

  • Offer Calculation Date: 10th working day from the closure of the tendering period (for determining expanded capital on fully diluted basis)
  • Specific dates for tendering period: To be specified in the detailed public announcement

Impact Assessment

Market Impact: This is a significant corporate action that will result in change of control or substantial increase in shareholding of the Satani family group in Deccan Bearings Limited. The open offer provides an exit opportunity to public shareholders at ₹10 per share.

Shareholder Impact: All public shareholders, including those receiving shares through preferential allotment (50.52 lakh shares), are eligible to participate. The offer targets 26% of expanded capital, which represents a substantial portion of public shareholding.

Corporate Governance: The acquisition triggers mandatory open offer obligations under SEBI Takeover Regulations, ensuring fair treatment and exit opportunity for all public shareholders at a uniform price.

Liquidity: The open offer provides liquidity to shareholders who may wish to exit their investment at the specified offer price of ₹10 per share, which equals the face value of the shares.

Impact Justification

Major corporate action involving takeover of 26% stake through open offer affecting all public shareholders of Deccan Bearings Limited