Delta Corp rises 12% after gaming arm files DRHP, stock underperfoming


of soared 12.4 per cent to Rs 184.20 apiece on the on Friday in an otherwise weak market after Deltatech Gaming (DGL) filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) for an initial public offering. DGL is a wholly-owned subsidiary of .


DGL’s will comprise a fresh issue of equity of face value of Rs 1 each, for an amount aggregating up to Rs 300 crore and an offer for sale (OFS) of the equity held by the company for an amount aggregating up to Rs 250 crore.


The company said the will be subject to market conditions, receipt of applicable approvals, and other considerations. Upon completion of the offer, Deltatech Gaming will continue to be a subsidiary of Delta Corp, it said.


is the only listed company engaged in the casino (live, electronic, and online) gaming industry in India. It also has interests in hospitality and real estate.


However, despite the gain, the stock of Delta Corp has underperformed the market in the past month by falling 27 per cent, against the 6 per cent decline in the S&P Sensex. It hit a 52-week low of Rs 162.10 on Thursday.


Jhunjhunwala


Thus far in June, ace investor and his wife Rekha have sold 7.5 million equity shares of Delta Corp through open market sale, according to a disclosure by him to the stock exchanges. After the transactions, Jhunjhunwala’s family’s stake in Delta Corp has decreased to 3.36 per cent from 6.17 per cent on May 31.


Jhunjhunwala and his wife together held 7.48 per cent stake in Delta Corp at the end of the March quarter.


Meanwhile, said its schemes have increased shareholding in Delta Corp by 2.15 per cent as of June 10, taking the aggregate holding of the schemes to 9.21 per cent of the paid-up equity share capital of the company.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor



Source link

Recent Posts

Scan to Download
ios&Android APP

Open trading account and start trading!

Join our happy customers