Vedanta makes open offer for MALCO

Vedanta Resources Plc, the London-listed founder of Madras Aluminium Co Ltd. (MALCO) said it intends to make a cash offer to acquire the 20% of the target company that it doesn't own in order to continue with its strategy of consolidating its structure. The offer is being made by Twin Star Holdings Ltd., a wholly owned subsidiary of Vedanta and is consistent with the parent company's strategy to consolidate the group structure. The offer to acquire up to 22.5mn shares of MALCO will be made by a reverse book building process, Vedanta said in a statement. The minimum floor price in accordance with Indian regulations is Rs74.77 per share. Vedanta does not intend to acquire shares under the offer at a price exceeding Rs105 per share. Twin Star Holdings plans to delist shares of MALCO from the BSE and NSE. The offer by the founder, who holds 80% of the aluminium maker, will open on March 17 and close on March 20.