Hitachi Home slumps on open offer

Hitachi Home had been hitting new highs consistently on 22^nd and 23^rd Jan though today, it is streaked in red.  The stock which had closed on Friday at Rs.1135.80, opened at Rs.1130 and soon slipped down to Rs.971.40. It has recovered since then but remains 7% lower at Rs.1055.

The moods have turned around on the counter after the Johnson Controls and parent company, Hitachi Appliances made an open offer to acquire 7 million shares or 25.748% stake in the company at a price of Rs.821.38. The market is very disappointed as this open offer price is at a 28% discount to Friday’s closing price.