Mumbai: Shares of Hindustan Unilever Ltd Tuesday shot up by over 17 percent, adding Rs 18,550 crore to market cap, after its parent Unilever Plc said it will spend USD 5.4 billion (over Rs 29,380 crore) to raise stake in HUL to 75 percent through an open offer.
After surging 20 percent to 52-week high of Rs 597 in the intra-day trade, the stock of FMCG major finally ended at Rs 583.60, up 17.28 percent on the BSE.
At the NSE, the scrip settled 17.17 percent higher at Rs 582.75.
HUL was the best performer among the blue-chips on both Sensex and Nifty indices.
Tracking gains in the stock, the market cap of HUL surged Rs 18,550 crore to Rs 1,26,154 crore.
"The company is now doing well and they have found their growth track in businesses they are in. Investors should tender their shares at the open offer price," Motilal Oswal Financial Services Director & Co Founder Raamdeo Agrawal said.
The Anglo-Dutch consumer goods giant Unilever Plc said it will spend USD 5.4 billion (over Rs 29,380 crore) to hike stake in its Indian arm to 75 percent through an open offer.
Unilever will pay Rs 600 a share in an open offer to raise its stake in HUL to 75 percent from the current 52.48 percent, the company said in a filing to the stock exchanges.
The price was 21 percent higher than the stock's closing price of Rs 497.35 yesterday.
The world's second-largest consumer goods company "is making a voluntary open offer to acquire 48,70,04,772 shares representing 22.52 percent of the total Voting Share Capital from the public shareholders of Hindustan Unilever Ltd", it said.
The BSE 30-stock index, Sensex, ended at 19,504.18, up 116.68 points.
First Published: Tuesday, April 30, 2013, 19:41