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ACC extends stock option to its subsidiaries
Rakesh Kumar Dubey
Calcutta, June 29: In a major departure from the existing practice of offering stock option schemes to employees only, the cement major ACC Ltd has decided to extend the offer to the employees of its subsidiaries also.Experts feel that the proposed offer may induce other corporate majors to follow suit if the scheme evokes a good response. ACC will seek shareholder approval to pass the resolution pertaining to the stock option scheme to ACC's subsidiary companies.ACC's subsidiary companies include the ACC Machinery Company, the Cement Marketing Company of India, ACC-Nihon Castings, Bulk Cement Corporation (India) and Damodhar Cement and Slag. It will issue a maximum of 15 lakh equity shares, about 0.9 per cent of its total paid up share capital at the end of March 31, 2000. However, the pricing of the offer will be determined by the average share price of the scrip in the March to May period on the Bombay Stock Exchange (BSE). The scrip has been hovering at around Rs 125. The company had earlier obtained shareholder approval to offer ESOS to its permanent employees in the management cadre and to ACC directors in 1998, but the scheme did not bear fruit. Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.
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