A committee of directors, set up by the board of Saroj Poddar-promoted Texmaco Rail & Engineering, has recommended amalgamation of Kalindee Rail Nirman into the Kolkata-based wagon manufacturer.
The city-based company set up the committee on April 15 to explore and evaluate various organic and inorganic restructuring options available.
The committee has, with the objective of synergic consolidation and integration, recommended the amalgamation of Kalindee, a listed public limited firm in which Texmaco holds 49.07% share, into and with the company, by way of a Scheme of Amalgamation in terms of Sections 391 to 394 of the Companies Act 1956, Texmaco said in a BSE filing on Wednesday.
?Accepted the recommendations of the said committee of directors and the audit committee, and has inter alia approved the scheme, which shall result in the amalgamation of Kalindee into and with the company with effect from April 01, 2014, i.e., the appointed date. The share swap ratio is 106:100, i.e. 106 fully paid-up equity shares of R 1 each of the company shall be issued for every 100 fully paid-up equity shares of R10 each held by a shareholder in Kalindee,? the filing added.
Texmaco acquired more than 49% stake last year in Kalindee Rail Nirman after launching an open offer made for acquisition of shares.