Schneider Electric readies to re-list its Indian arm
Schneider Electric is preparing to re-list its Indian subsidiary on the Metropolitan Stock Exchange of India (MSEI), almost six years after the delisting, following a capital markets regulator's directive. In a letter of offer dispatched in November to Schneider Electric President Systems' past shareholders, who participated in the company's share buyback in 2017, it has put forth a proposal to sell the shares back to them at ₹200.40 apiece.
This was the price at which the company had purchased the shares from shareholders.
Schneider cited a Sebi directive instructing the multinational corporation to relist the subsidiary on a nationwide stock exchange.
«To comply with the Sebi order and the Securities Appellate Tribunal (SAT) order, the company has requested the promoter to give an opportunity to each exit shareholder to re-acquire its respective exit shares at the exit price, by way of the offer,» said the intimation to shareholders dated November 7, 2023. «The board of directors of the promoter has agreed to make the offer and intimated the same to the company.» Exit shareholders are those who had tendered their equity shares to the promoter under the exit offer in 2017.
Exit shares are the number of shares tendered and the exit price is ₹200.40.
When contacted, the Schneider Electric spokesperson said the company has decided to list Schneider Electric President Systems in the interest of public shareholders since it will enable them to trade the company's shares. «We are working towards the company's listing on MSEI by the third week of January 2024.
The price discovery will be done as per Sebi regulations applicable for direct listing,» said the company spokesperson told ET. «We currently do not have any plan for
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