Basant Kumar Birla intends to scale up promoter’s holding in group companies to at least 50 % over the next three years. The 89-year Birla patriarch on Saturday said that he plans to increase his stakeholding in companies where the promoter’s hold about 25% or so of the company’s total paid up equity.
Speaking to mediapersons after Century Enka’s 43rd annual general meeting held in Kolkata on Saturday, group chairman B K Birla said: "In the current scenario, it is advisable to increase promoter’s holding in group companies in which we have low holding to half (of the total number of company’s shares). We would be increasing our stakes by about 5 % every year in such companies, the maximum limit that is allowed through the creeping acquisition route."
"It is necessary for mental happiness. In the past, we have run businesses with only 25-26% holding in our companies," Mr Birla added. He, however, did not specify the companies in which promoter’s holding is hovering between 25-26%.
A quick check of the B K Birla group companies shareholding pattern as on March 31, 2009 and filed with the National Stock Exchange indicates promoter’s holding in group companies like Kesoram Industries, Century Enka and Mangalam Cement is hovering between 24%-27% as on March 31, 2009.