World · India Bureau
Devyani, Sapphire Foods shares gain on revised merger terms
Shares of both Devyani International and Sapphire Foods climbed 3% following an adjustment to their proposed merger scheme. The revised share-swap ratio offers Sapphire Foods shareholders improved consideration in the all-stock transaction.
LSN India ·
Equity markets responded positively to news of the restructured merger between quick-service restaurant operators Devyani International and Sapphire Foods, with both companies' shares gaining 3% on the announcement.
Under the revised terms, Sapphire Foods shareholders will receive 177 shares of Devyani International for every 100 shares they currently hold. The record date for determining share eligibility in the swap will be announced separately by the companies in due course.
The adjustment to the merger scheme suggests a repricing of the transaction terms between the two quick-service restaurant chains, which have significant operations across India's growing food service sector. The positive market reaction indicates investor confidence in the revised transaction structure.
Both companies are expected to provide further details on the merger timeline and integration plans in coming regulatory filings and shareholder communications. The transaction remains subject to customary closing conditions and regulatory approvals.