Acquistion of 26% stake in a listed Company

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Vinay Chopra (Querist)
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10 May 2011 Dear,

1. Can an Indian Company acquire 26% stake in a listed company through a private equity mode?
2. Will the stake acquired be termed a public shareholding?

Please provide with other regulatory requirements.

Rasesh

Rasesh (Expert)
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11 May 2011 1) Yes. The provisions for public announcement will be trigerred if the holding (directly or indirectly) reaches 15%

2) Yes. It may be termed as public holding if it does not fall within the definitions of promoter and promoter group.