Ashok Kumar Parmar, a Pune-based high networth investor, has acquired close to a 15 per cent stake in Sai Service Station, one of the well-established dealer of Maruti range of cars.
According to the shareholding pattern of the company published on the Bombay Stock Exchange's website, Parmar holds 604,000 shares, which is 14.9 per cent of the company's total paid up capital. Even a marginal buying in the company's stock would result in an open offer.
Meanwhile, Pune-based Kalmadi family of the brothers Mukesh, Shridhar and Suresh, holds a 29.15 per cent in the company.
The Sai Service stock has been trading in the range of around Rs 25-30 for the past few days with average volumes of 15,000 shares.
Parmar told Business Standard, "These shares in the company have been picked over a period of time...I believe the company has strong fundamentals and is an attractive investment bet as the company has been a consistent dividend payer and has huge assets in prime locations. It has a book value close to Rs 95 per share."
Sai Service is one of the largest retail automobile dealers in the country with showrooms spread across Maharashtra, Goa and Kerala.
It has a well-established franchise of Maruti, Bajaj Auto and Mahindra & Mahindra Utility vehicles.