After having received the nod from public shareholders, Vedanta will make a public announcement of the delisting and dispatch the letter of offer and a bid form.

Billionaire Anil Agarwal’s Vedanta Limited has received the approval of shareholders to delist the company from stock exchanges, and take it private, the mining major informed the market regulator on Thursday. 84.3% of the public shareholders voted in favour of the delisting of the company paving the way for Anil Agarwal to take his company off the stock exchanges. Public shareholders have a 49% stake in the company while the rest is held by Anil Agarwal and the promoter group. Earlier last month, Vedanta;s promoter group had shared an indicative offer price of Rs 87.5 per share which is at a 21% discount to the current market price. However, that may not be the final exit offer price, here’s what will now follow.

Now, after having received the nod from public shareholders, Vedanta will make a public announcement of the delisting and dispatch the letter of offer and a bid form. Post the public announcement Vedanta will start the bidding period for public shareholders. During this process, which will stay open for a period of five working days, shareholders will submit their bids. Currently, the promoter group holds 176 crore shares, excluding the American Depositary Shares aggregating to 51.6% of the company.

Post the bidding process, the final exit price shall be discovered. At this price, the promoter group will take it’s holding up to 90% of paid-up equity capital. However, the promoter group does have the option to either accept or reject the final offer price. If the promoter group decides against accepting the final exit offer price, it could make a counteroffer within two working days. Within five days from the closing of the bidding period, the promoter group will announce the final exit price as or its failure of the delisting offer. Once the delisting offer is successful, the promoter would be required to pay the consideration to Public Shareholders within 10 working days of the closure of the Bidding Period.

After completion of this process the company may approach the stock exchanges for delisting. “The remaining Public Shareholders may tender their Equity Shares to the promoter up to a period of one year from the date of delisting and, in such case, the promoter would accept the Equity Shares at the final exit offer price. Continuing Public Shareholders shall have the rights to vote and receive dividend,” brokerage and research firm Motilal Oswal said in a note. Shares of Vedanta have surged 5.66% in the last five trading sessions.