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As many as 303 companies have been delisted from the Bombay Stock Exchange (BSE) in the last financial year (April 2003-March 2004).
Most of these companies were delisted from the exchange for violation of the listing agreement, while a few were delisted after their merger or amalgamation with other companies.
Of the 303 firms, 246 companies were delisted from the BSE in January 2004, after the market regulator's delisting guidelines came into force.
These stocks were already suspended by the Securities and Exchange Board of India for violation of listing agreement clauses for more than five years.
Forty-four companies were delisted after they had merged or amalgamated with other companies while another 13 companies were delisted from the exchange after their parent company acquired more than a 90 per cent stake.
Most of the multinational firms preferred to delist their subsidiaries' equity shares from the Indian stock markets after acquiring more than a 90 per cent stake.
Carrier Aircon, Century Laminating, Kodak India, Madura Coats, Otis Elevator, Philips India and Reckitt Benckiser are few companies in this category.
Recently, Indian Aluminum delisted its equity shares from the BSE after Hindalco Industries acquired a majority stake in the company.
Hindalco Industries has agreed to provide an exit option to the existing shareholders of Indian Aluminum at Rs 120 per share in the next one year from the date of delisting. The stock was last traded in November 2003 at Rs 160 on the BSE.
Digital GlobalSoft is another company which was delisted after Hewlett Packard Leiden BV acquired the Indian company's equity shares through the reverse book building process at Rs 850 per share.
Asian Coffee was delisted after it was amalgamated with Consolidated Coffee. Bayer Cropscience was amalgamated with Bayer India, German Remedies with Cadila Healthcare, Parke Davis India with Pfizer, Siltap Chemicals with Supreme Industries, TVS Electronics with TVS eTechnology and Vikrant Tyres with JK Industries. As a result, all these companies were delisted.
Aesculapius Remedies, Elvis India, Garware Nylons, Kunal Engineering, Motorol, Rumpangi Impex, SI Property Development and Victory Glass were delisted from the BSE after they had closed down their businesses.
The promoter of ASR Agro, Balsara Hygiene Products, Steel Complex, Tamilnadu Hospital and Wall Street Housing and Finance Corp voluntarily delisted their companies' equity shares from the stock exchange due to low liquidity.