DIC India, which had breached the upper circuit yesterday at Rs.470.35, has today breached the lower circuit at Rs.392.45. The stock remains deeply in the red, down almost 9% currently.

This flip-flop from upper circuit to lower circuit within 24 hours is because its delisting offer failed. The promoter of the company, DIC Asia Pacific, had fixed the floor price at Rs.174/share and an indicative price of Rs.260/share. Yesterday, the offer which was made through reverse book building, received 14.65 lakh bids as against requirement of 16.75 lakh shares.

Through the reverse book building, which ended on Monday, the company received bids for only 14.56 lakh shares, as against the required number of 16.75 lakh shares for the offer to become a success. This delisting offer would be successful only if the shareholding of the acquirer, taken together with the equity shares accepted in the reverse book building process, reaches 82.61 lakh shares, constituting 90% of the fully paid-up equity capital of the company. The last date for making a second public announcement is November 3 and the company will return the shares to the shareholders by November 7.