SEBI panel moots buyer to disclose holdings at three levels

MUMBAI, NOV. 13. The Securities and Exchange Board of India constituted Justice P. N. Bhagwati Committee on takeovers today decided to make it mandatory for an acquirer to disclose his holding at three levels and also inform stock exchanges as well as the target company.

Earlier, the acquirer had to report to the target company only when he crossed the limit of five per cent of its equity.

The committee decided that the acquirer should inform his holding when he touches the five per cent, ten per cent and 14 per cent levels.

Addressing newsmen here after the meeting, Mr. Justice Bhagwati said after the acquirer crossed his threshold limit of five per cent and later the ten per cent and 14 per cent levels, they had to inform the stocks exchanges, which in turn have to post them on their website immediately for public information.

The committee's meeting comes in the wake of the hostile takeover attempts of Bombay Dyeing by the Calcutta-based Mr. Arun Bajoria.A meeting of the financial institutions with the takeover panel has been fixed tomorrow.

- PTI

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