‘Highest bid in DPSC stake sale should be treated as floor price’
Kolkata: The Calcutta High Court has ruled
that the highest bid received in the 57 per cent stake sale of
Dishergarh Power Supply Corporation (DPSC) should be treated
as the floor price and all unsuccessful bidders can
participate in the auction tomorrow.
The Court's ruling came in a petition filed by Descon, a
100 per cent subsidiary of DPSC, seeking removal of a clause
inserted by the Company Law Board last month for the DPSC
stake sale. DPSC is a Andrew Yule group company.
The clause stipulated that in case the bid value
difference was less than 10 per cent between the highest
bidder and Descon, the two would have to go for the auction
route to complete the stake sale.
In its order yesterday, the Court withdrew the clause
and said that in case there was a need for auction, then the
highest bid which arrived after opening of the sealed covers
would be treated as the floor price and all the unsuccessful
bidders can participate in the auction.
Besides Descon, the other prominent bidders were CESC,
JSW Energy, and a company led by Srei.