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Hitachi soars as Johnson Controls plans to acquire 25.74% stake

28 Jan 2015 Evaluate

Hitachi Home & Life Solutions (India) is currently trading at Rs. 1183.25, up by 38.90 points or 3.40% from its previous closing of Rs. 1144.35 on the BSE.

The scrip opened at Rs. 1129.00 and has touched a high and low of Rs. 1194.70 and Rs. 1111.60 respectively. So far 29394 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1307.00 on 23-Jan-2015 and a 52 week low of Rs. 129.05 on 17-Feb-2014.

Last one week high and low of the scrip stood at Rs. 1307.00 and Rs. 954.00 respectively. The current market cap of the company is Rs. 3111.59 crore.

The promoters holding in the company stood at 74.25% while Institutions and Non-Institutions held 5.15% and 20.60% respectively.

Johnson Controls is planning to acquire 25.74% stake in Hitachi Home & Life Solutions (India) through an open offer. Johnson Controls would acquire little over 70,00,990 shares at an offer price of Rs 821.38 per share amounting to Rs 575.04 crore.

Last week, Johnson Controls and Hitachi Appliances had entered into a definitive agreement to form a global joint venture (JV) for heating, air conditioning, ventilation and refrigeration (HVAC).

Post completion of the open offer, the JV company, either directly or through one or more subsidiaries, will hold 74.25% of the target company. As per the agreement, Johnson Controls will obtain a 60% ownership in Hitachi Appliances. The deal excludes sales and service operations in Japan.

Hitachi Home and Life Solutions (India), popularly known as Hitachi, is engaged in manufacturing a range of electronic home solutions.

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