Financial Technologies gets 9 bids for the proposed divestment of upto 24% equity stake in MCX

The Restructuring Committee constituted by the Board of Financial Technologies (India) Ltd. ("FTIL") met on April 11, 2014 has noted down the proposal received for divestment of upto 24% equity stake in Multi Commodity Exchange (MCX).

The Restructuring Committee has received non-binding bids from 9 (nine) prospective investors, which includes marquee Indian and global conglomerates. The Committee has completed the process of shortlisting of the parties with whom FTIL's appointed banker JM Financial will take the discussion forward.

The Restructuring Committee also noted that every shortlisted bidders has requested for management interaction with MCX and customary due diligence as a pre-condition to the said sale. The Restructuring Committee has also decided that it will finalize the bidder(s) by April 25, 2014 and will recommend the same to the Board of FTIL, subject to the above management meeting and customary due diligence request of bidders being completed by MCX.

FTIL is making all efforts with a view to complete the proposed sale of its 24% equity stake in MCX by April 25, 2014 and has now called for a meeting of its Board of Directors on April 25, 2014 for selecting the final bidder(s).

FTIL will write to the Board of MCX seeking their co-operation for management interaction with the shortlisted bidders and the customary due diligence to enable the proposed sale within the defined timelines.

FTIL will also write separately to the Forward Markets Commission (FMC) to seek their support and co-operation in the matter and will update them periodically on the progress of customary due diligence and interaction with management of MCX.

FTIL is confident that with the full support of the FMC and MCX it will be able to select the final investor(s) within the defined timeline of April 25, 2014.

Shares of FINANCIAL TECHNOLOGIES (INDIA) LTD. was last trading in BSE at Rs.361.95 as compared to the previous close of Rs. 364.7. The total number of shares traded during the day was 418397 in over 14368 trades.

The stock hit an intraday high of Rs. 372.3 and intraday low of 357.1. The net turnover during the day was Rs. 152845305.

Source : Equity Bulls

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