Andhra Pradesh Paper Mills up on buzz open offer hike may get SAT nod

Shares of Andhra Pradesh Paper Mills surged 11.8% to Rs 334.60 on Wednesday on speculation that the Securities Appellate Tribunal ( SAT) may rule in favour of an increase in open offer price by the prospective acquirer.

IP Holdings Asia, an arm of US-based International Paper Company, wants to take over AP Paper and had made an open offer at Rs 544.20 last year.

But, Sebi asked IP Holdings to raise its open offer price by including the non-compete fee, prompting the acquirer to file an appeal with SAT in August 2011. Andhra Pradesh Paper did not respond to a query on the matter.

(Contributed by Nihar Gokhale)