Unilever’s $5.4 bn open offer for HUL to begin on 21 June

09-05-2013,New Delhi:--





Hindustan Unilever Ltd (HUL) on Wednesday said the $5.4 billion-open offer by its parent firm Unilever Plc. to buy 22.52% stake in the company would begin on 21 June.

Once complete, the open offer would be one of the biggest deals and fifth-largest India Inbound M&A transaction on record till date.

Anglo-Dutch consumer goods giant Unilever is looking to hike stake in its Indian arm HUL to 75% through the open offer. Currently, it has a stake of 52.48%.

Unilever will pay Rs.600 a share, valuing the open offer at $5.4 billion.

The open offer would begin on 21 June and close on 4 July, HUL said in a regulatory filing.

Last week, HUL's board constituted a committee of independent directors to provide recommendation to the shareholders about the open offer.

The committee would consist of all the five independent directors of the company--Aditya Narayan, S. Ramadorai, R.A.Mashelkar, O.P.Bhatt and Sanjiv Misra.

HUL's portfolio includes leading brands such as Lux, Lifebuoy, Surf Excel, Rin, Wheel, Sunsilk, Pepsodent, Closeup, Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality Wall's and Pureit.

The company, which employs over 16,000 employees, posted net sales of Rs.26,317.15 crore for the 2012-13 fiscal.

Shares of HUL closed at Rs.586.70 on the BSE, up 1.23% from its previous close.


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