Valiant Communications – Updates on Buy Back Offer

Industry:    2016-04-03

SPA Merchant Bankers Ltd (Manager to the Buyback) on behalf of Valiant Communications Ltd ("Target Company") has issued this Post offer Public Announcement ("PA") to the equity shareholders / Beneficial owners of the equity shares of Target Company, which is in continuation of and should be read in conjunction with the Public Announcement ("PA") dated September 29, 2008 & Corrigendum to PA was published on October 07, 2008. A notice on completion of buy back of maximum number of equity shares was issued to BSE on May 11, 2009.

This Post Offer PA is regarding completion of Buy back offer in compliance with Regulations 19(7) of the Securities & Exchange Board of India (Buy-Back of Securities) Regulations, 1998.

A. The Buyback:

1. The Target Company had announced the buyback its own fully paid Equity Shares of face value Rs. 10/- ("Shares") each from the existing owners/ beneficial owners of the Equity Shares of the Company from the Open Market through the Stock Exchange using electronic trading facilities of the Bombay Stock Exchange ("BSE") in accordance with Section 77A, 77AA and 77B of the Companies Act, 1956 and the SEBI (Buy Back of Securities) Regulations, 1998 at a maximum price not exceeding Rs. 32/- (Rupees Thirty Two only) per Equity Share ("Maximum Buy back Price") payable in cash for an aggregate amount not exceeding Rs. 3,14,19,700/- (Rupees Three Crore Fourteen lacs Nineteen Thousand and Seven Hundred only) ("the buy back Size"). The minimum and maximum number of Equity Shares that the Company proposed to buy back under the Offer was 5,00,000 and 11,25,000 equity shares respectively.

2. The Buy Back was affected by the Company by way of open market purchases through BSE using its nationwide electronic trading facilities.

3. The Buy Back was commenced on October 07, 2008 and closed on May 14, 2009, including the payment obligations. Till closure of Buyback, the Company has utilized Rs 265.75 lacs, being 84.58% of the total amount authorized for the buyback.

B. Details of the Buy Back

1. The total number of Equity Shares bought back under the Buy back is 11,25,000 shares, being the maximum number of shares pursuant to the Buy Back offer.

2. The price at which the Shares were bought back during the Buy Back offer was dependent on the then prevailing market price on the BSE. The highest price at which the Equity shares were bought back was Rs. 27.10 per Equity Share while the lowest price was Rs. 17.65 per Equity Share. The Average price at which the Shares were bought back is Rs. 23.62.

3. The total amount invested in the Buy Back is Rs. 265.75 lacs.

4. Since the Buy Back was done only through order matching mechanism from the Open Market through BSE, the identity of shareholders from whom Shares exceeding one percent of the total Shares were bought back is not known to the Company.

C. Capital Structure

The Capital structure of the Company pre and post Buy back, is as under:

Pre-Buyback (as on the date of PA i.e. September 29, 2008)
Rs 864.56 lacs (86,45,600 Equity Shares of Rs 10 each)

Post-Buyback*
Rs 752.06 lacs (75,20,600 Equity Shares of Rs 10 each)

* Company has extinguished 1,125,000 Equity Shares at NSDL and 963,405 Equity Shares at CDSL. The Company has applied for extinguishment of remaining 161,595 equity shares with CDSL and the Same will be extinguished in due course.

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