Opto Circuits gains over 12% on stake sale reports to Goldman Sachs
Opto Circuits rallied as much as 12.4% in a weak market on Monday, after PTI reported that Goldman Sachs is likely to acquire 26% in the company.
By ET Online |
NEW DELHI: Opto Circuits Ltd rallied as much as 12.4 per cent in a weak market on Monday, after PTI reported that global investment banker Goldman Sachs is likely to acquire 26 per cent stake in Indian medical equipment maker for around Rs 300 crore.
At 09:20 a.m.; Opto Circuits was trading 11 per cent higher at Rs 34.35. It has hit a low of Rs 32.50 and a high of Rs 34.80 in trade today.
Bangalore-based Opto Circuits specialises in vital signs monitoring, emergency cardiac care, vascular treatments and sensing technologies.
"Goldman Sachs is likely to pick 26 per cent stake in Opto Circuits, which will be through a combination of existing and fresh equity. Following that the investment banker will also appoint two members to the firm's board," a source told PTI.
When contacted, neither Goldman Sachs nor Opto Circuits offered any comments. Sources said the fresh infusion will be used to further expand the company's medical device business.
"Goldman Sachs will pick up this stake at Rs 50-52 per share, valuing Opto Circuits at about Rs 1,300 crore," said the source.
As per the BSE, Opto Circuits' market capitalisation is around Rs 749 crore. The company was on an acquisition spree in both domestic and overseas market over the past 7-8 years.
According to PTI sources, Opto Circuits board will meet early next month for the third quarter results and also to clear the deal.
At 09:20 a.m.; Opto Circuits was trading 11 per cent higher at Rs 34.35. It has hit a low of Rs 32.50 and a high of Rs 34.80 in trade today.
Bangalore-based Opto Circuits specialises in vital signs monitoring, emergency cardiac care, vascular treatments and sensing technologies.
"Goldman Sachs is likely to pick 26 per cent stake in Opto Circuits, which will be through a combination of existing and fresh equity. Following that the investment banker will also appoint two members to the firm's board," a source told PTI.
When contacted, neither Goldman Sachs nor Opto Circuits offered any comments. Sources said the fresh infusion will be used to further expand the company's medical device business.
"Goldman Sachs will pick up this stake at Rs 50-52 per share, valuing Opto Circuits at about Rs 1,300 crore," said the source.
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As per the BSE, Opto Circuits' market capitalisation is around Rs 749 crore. The company was on an acquisition spree in both domestic and overseas market over the past 7-8 years.
According to PTI sources, Opto Circuits board will meet early next month for the third quarter results and also to clear the deal.
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