Open Offer Overview

Acquirers Amarandhar Reddy Kotha and Mallour Rajesh Kumar have launched a mandatory open offer for 39,25,988 equity shares (26%) of Dolphin Medical Services Limited at ₹4.80 per share. The offer is triggered by a Share Purchase Agreement dated May 15, 2026, to acquire 31,63,390 shares (20.95%) from existing promoters Gude Venkata Mohan Prasad and Lakshmi Sudha Madala at ₹1.80 per share.

Financial Details

Total consideration payable is ₹1.88 crore with financial arrangements secured through a ₹1.90 crore escrow deposit with Axis Bank Limited. The tendering period is scheduled from July 31 to August 13, 2026, through BSE acquisition window with settlement within 10 working days.

Company Background

Dolphin Medical Services Limited (CIN: L24239TG1992PLC014775) is engaged in diagnostic and healthcare services including radiology, pathology, and ophthalmic care. Financial performance shows revenue of ₹75.01 lakhs in March 2026 with PAT of ₹4.19 lakhs, indicating a turnaround from previous losses.

Tax Treatment Framework

Resident Shareholders

No TDS deduction by acquirer, but shareholders must undertake to file tax returns and indemnify acquirer against any tax demands. Tax rates vary by entity type: individuals/HUF at normal rates, domestic companies at 25% (≤₹400 crore turnover) or 30%, with additional surcharge and 4% health and education cess applicable.

Non-resident Shareholders

FIIs/FPIs are exempt from TDS u/s 393(4) for capital gains. Other non-residents face TDS @ 12.5% for LTCG and higher rates for STCG/business income. Lower/Nil TDS requires valid certificate u/s 395(1) and 395(2) from Assessing Officer.

Documentation Requirements

All shareholders must submit PAN details with self-attested copies and residential status declaration. Non-residents additionally require TRC from government of residence country, certificate u/s 395(2) for lower/nil TDS, and declarations regarding permanent establishment and income characterization.

Risk Factors

Offer-related risks include possible delay in payment consideration and price fluctuation risk during offer period. Acquirer-related risks include no assurance on future performance of target company and market price volatility.

Key Parties

  • Manager to Offer: Rarever Financial Advisors Private Limited
  • Registrar to Offer: Integrated Registry Management Services Private Limited
  • Buying Broker: Nikunj Stock Brokers Limited
  • Escrow Bank: Axis Bank Limited

Post-offer, acquirers will hold 70,90,705 shares (46.96%) assuming full acceptance, reducing public shareholding to 47.55%.