Shares in Honeywell Automation India slump 19.5 per cent after saying Honeywell Asia Pacific plans to cut its stake in the domestic unit.
Shares in Honeywell Automation India slump 19.5 per cent after saying Honeywell Asia Pacific plans to cut its stake in the domestic unit.
Honeywell Asia Pacific plans to sell shares in its Indian unit to meet market regulator requirements mandating listed companies must have at least 25 per cent public shareholding by next year.
Honeywell Asia Pacific owns 81.24 per cent stake in Honeywell Automation, and would thus need to cut its stake to 75 per cent.
Traders had speculated Honeywell Asia Pacific, itself a unit of Honeywell International Inc, would prefer to delist the company.
The decision to reduce the stake was instead seen as Honeywell's plan to keep the Indian listing, traders say.
Copyright @ Thomson Reuters 2012
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