Tribhovandas Bhimji Zaveri Share Price Today: Tribhovandas Bhimji Zaveri (TBZ) shares remained in strong demand on Tuesday, hitting the 20% upper circuit at Rs 366.50 on the BSE.
The stock has gained around 30% over the past five sessions.
At 11:21 am, TBZ shares continued to remain locked at the 20% upper limit. In comparison, the BSE Sensex was trading 0.3% higher at 77,190 levels.
Tribhovandas Bhimji Zaveri Share Price: Here's Why
The sharp move in TBZ shares comes after GRT Jewellers India agreed to acquire a 74.12% stake in the jewellery retailer for up to Rs 1,034 crore.
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The transaction involves the acquisition of the promoter holding and remains subject to regulatory approvals and other closing conditions, according to Reuters.
Following completion of the acquisition, GRT Jewellers will make an open offer for an additional 26% stake in TBZ, in accordance with SEBI regulations.
If the open offer is fully accepted, GRT could potentially take its ownership close to the entire equity of the listed jewellery company.
GRT Jewellers To Expand India Presence
The acquisition will strengthen GRT Jewellers' presence across India through TBZ's established retail network.
TBZ currently operates 37 stores across the country and has a history spanning 162 years.
G R Ananthapadmanabhan, Managing Director of GRT Jewellers, said the transaction fits into the company's strategy of expanding its presence across India. He added that TBZ's existing store network would support that expansion.
GRT said its management team will work with TBZ's senior executives to identify new growth opportunities and strengthen the jewellery retailer's business.
TBZ Share Price: What Investors Are Watching
With the acquisition set to bring a change in ownership and a subsequent open offer, investors are now watching the regulatory approvals, completion of the stake purchase and terms of the open offer.
The strong buying interest has pushed TBZ shares into the upper circuit, extending the stock's recent rally.
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