BF Investment hits 10% lower circuit as board defers delisting proposal

The stock had hit a multi-year high of Rs 462.10 on Wednesday, ahead of the board meeting, after it surged 58 per cent in four days

Shares of BF Investment were locked at the 10-per cent lower circuit, at Rs 413.65, on the BSE on Thursday as the board of directors of the company deferred delisting proposal of the promoters.

Till 10:29 AM, around 12,000 shares had cumulatively changed hands and there are pending sell orders for nearly 190,000 shares on the NSE and BSE. In comparison, the S&P BSE Sensex was down 0.03 per cent at 60,641.

Over the past four days, the stock zoomed 58 per cent from a level of Rs 291.75 to hit a multi-year high of Rs 462.10 on Wednesday. The company had, on December 30, said that its board would meet on January 4, 2023, to consider a delisting proposal.

DGM Realties Private Limited, along with Ajinkya Investment and Trading Company and Sundaram Trading and Investment Private Limited, who are members of the promoter and promoter group of BF Investment, thad made initial public announcement to initiate the process of and to express the intention of the promoters to either individually or collectively, as the case may be, acquire all equity shares that are held by public shareholders. Consequently, voluntarily delist the equity shares from the stock exchanges.

The company’s equity shares are presently listed on BSE Limited and National Stock Exchange of India Limited (NSE).

However, BF Investment said on Wednesday that as per Regulation 4(2) of the Delisting Regulations, no acquirer (which includes the promoter and member(s) of the promoter group) who has sold any equity share(s) of the company during the period of six months, prior to the date of the initial public announcement can propose delisting of equity shares of that Company.

Prior to issuance of the Initial Public Announcement, the beneficiary position data (BENPOS) of the Company reflect that one of the members of the promoter and promoter group of the Company had sold 400 equity shares of the Company on 29 June 2022.

"In view of the above and as a matter of abundant caution and good governance, the Delisting Proposal was not approved by the Board to ensure compliance with Regulation 4(2) of the De listing Regulations," BF Investment said. CLICK HERE FOR MORE DETAILS