InvestorQ : Why did Hexaware hit upper circuit on 05 June? Was it because of the delisting plan?
Dia Deshpande made post

Why did Hexaware hit upper circuit on 05 June? Was it because of the delisting plan?

Answer
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Anu Biswas answered.
4 months ago


The board of Hexaware is scheduled to meet on Friday June 12 to consider the proposal for voluntary delisting of equity shares of the company. After Vedanta and Adani Gas, this will be the third high profile company to delist the shares. It is expected that the management may offer a much higher price for the stock and the stock price could therefore gravitate higher. The promoter of Hexaware is HT Global IT Solutions Holdings and it has expressed its intention to acquire all fully paid up equity shares of the company held by public shareholders. Currently, the promoters are holding close to 62.4% of the equity capital while public shareholders hold the balance. The main objective of the delisting is for the promoter group to obtain full ownership and control of the company. Even in the case of Vedanta, the promoter had cited higher operational flexibility as the reason for delisting the stock.