Hitech Corporation Announces Voluntary Delisting Floor Price

Hitech Corporation Limited's floor price for voluntary delisting is set at ₹252 per share, with an indicative offer price of ₹353 per share.

Reader Takeaway: Promoter offer above floor price is attractive; valuation assumptions require scrutiny.

What just happened

Hitech Corporation Limited has formally announced the floor price for its voluntary delisting process, which has been fixed at ₹252 per share. This price is determined as the highest applicable value under the SEBI (Delisting of Equity Shares) Regulations, 2021. The company also set an indicative offer price at ₹353 per share, significantly above the floor price.

Why this matters

This announcement is crucial for shareholders as it establishes the minimum price at which delisting can occur and provides a specific offer price, representing a substantial premium over the regulatory floor. It signals the company's intent to delist, offering a potential exit route for public shareholders at a premium.

The backstory

The delisting is being undertaken in compliance with SEBI regulations. The company's total assets were reported at ₹488.84 crore, with an adjusted book value of ₹432.81 crore. Promoter holding stands at 74.43%, with public holding at 25.57%.

What changes now

The company has initiated formal steps for delisting, including appointing M/s. Robert Pavrey & Associates LLP as a peer reviewer to conduct necessary due diligence and audits. Shareholders can expect a formal letter of offer detailing the process and terms.

Risks to watch

Valuation assumptions, particularly regarding immovable property values and the carrying value of investments, were based on third-party reports and not independently verified against government rates. This could be a point of contention for shareholders seeking higher valuations.

Peer comparison

Comparable delisting scenarios vary, but typically, offer prices aim to provide a premium to recent market prices and book values to gain shareholder approval. Hitech Corporation's offer price of ₹353 is substantially higher than its 60-day VWAP of ₹148.82.

Context metrics (time-bound)

The floor price of ₹252 was derived from the Adjusted Book Value. The 60-Day Volume-Weighted Average Market Price (VWAP) on the NSE, from February 23, 2026, to May 25, 2026, was ₹148.82 per share. The audited consolidated balance sheet as of March 31, 2026, was used for valuation.

What to track next

Investors should closely follow communications regarding the formal letter of offer, the independent directors' committee recommendations, and the final outcome of the delisting process.