Bajaj’s plans to buy Maharashtra Scooters
BAL has shown its willingness to buy the 27 per cent stake of WMDC in the company at a mutually acceptable price.
BAL and WMDC, the joint venture partners in MSL have shortlisted Crisil, SBI Caps and ICICI Securities to value the state government`s 27 per cent stake in the company.
Bajaj Auto had offered to pay Rs 50 per share for the partner`s stake in the joint venture, which comes out to Rs 15.4 crore.
Bajaj and the state government have asked the three merchant bankers to produce detailed presentations.
According to the joint venture agreement, the state government cannot sell its stake to anybody else but Bajaj Auto.
MSL`s shares have risen by over three times in recent months to around Rs 90 per share, which BAL officials say is due to market expectations of a takeover by Bajaj.
Bajaj wants to merge Maharashtra Scooters with itself after the takeover to save sales tax on supplies of completely knocked down (CKD) kits, which now works out to Rs 350 per unit.
The other option would be to transfer the fixed assets of MSL to BAL.
BAL has shown its willingness to buy the 27 per cent stake of WMDC in the company at a mutually acceptable price.
BAL and WMDC, the joint venture partners in MSL have shortlisted Crisil, SBI Caps and ICICI Securities to value the state government`s 27 per cent stake in the company.
Bajaj Auto had offered to pay Rs 50 per share for the partner`s stake in the joint venture, which comes out to Rs 15.4 crore.
Bajaj and the state government have asked the three merchant bankers to produce detailed presentations.
According to the joint venture agreement, the state government cannot sell its stake to anybody else but Bajaj Auto.
MSL`s shares have risen by over three times in recent months to around Rs 90 per share, which BAL officials say is due to market expectations of a takeover by Bajaj.
Bajaj wants to merge Maharashtra Scooters with itself after the takeover to save sales tax on supplies of completely knocked down (CKD) kits, which now works out to Rs 350 per unit.
The other option would be to transfer the fixed assets of MSL to BAL.