Bajaj Electricals climbs 3% as firm exercises right to acquire SLL shares

NEW DELHI: Shares of Bajaj Electricals advanced over 3 per cent on Tuesday after the company said it has exercised its right to acquire shares of Starlite Lighting (SLL).

Following the development, the stock rose 4.57 per cent to hit a high of Rs 338.60 on BSE. It eventually closed the day 3.18 per cent up at Rs 340.25. The stock hit a 52-week high of Rs 387.85 in April.

The company had advanced a sum of Rs 3.80 crore to SLL as a short term loan, inter-alia on the collateral security by way of 38 lakh equity shares pledged by the SLL’s promoters. This accounted for 28 per cent equity promoters held in SLL as on February 23, 2007.

The company had the right to purchase the same stake, at its sole discretion, at a pre-determined consideration of Rs 3.50 lakh. Starlite Lighting reported a turnover of Rs 120 crore in FY17.