The Board of Directors of Torrent Cables Ltd at its meeting held on May 12, 2014, has approved the amalgamation of Torrent Energy Limited ("TEL"), (a wholly owned subsidiary of the Torrent Power Limited) and Torrent Cables Limited ("TCL") with the Torrent Power Limited.
A composite scheme of amalgamation under the provisions of section 391-394 of the Companies Act, 1956 between Torrent Energy Limited ("TEL"), (a wholly owned subsidiary of Torrent Power Limited), and Torrent Cables Limited ("TCL") with Torrent Power Limited (TPL), (Scheme) was recommended by the Audit Committee and approved by the Board of Directors of the Company.
The Appointed date of the Scheme would be April 01, 2014. All assets and liabilities of TEL and TCL are to be transferred and vested in TPL.
TPL to issue its shares to the shareholders of TCL, based on the share exchange ratio determined by the valuer, M/s. Price Waterhouse & Co., LLP Chartered Accountants and fairness opinion provided by IDFC Securities Limited, Merchant Bankers.
Every equity shareholder holding 20 (Twenty) fully paid shares of Rs 10 each of TCL, shall be entitled to receive 19 (Nineteen) fully paid up equity shares of Rs 10 each of TPL.
Since TEL is a wholly owned subsidiary of TPL, the investment of TPL in TEL shall stand cancelled and no shares to that extent shall be issued to TPL.
The scheme is conditional upon regulatory approvals including that of Gujarat Electricity Regulatory Commission, Central Electricity Regulatory Commission, SEBI, Stock Exchanges, and Hon'ble High Court of Gujarat / National Company Law Tribunal and proposals from the lenders on re-organisation of consolidated long term financing arrangements on such terms and conditions including appropriate moratorium, repayment period and security structure as may be acceptable to Board.
Shares of TORRENT CABLES LTD. was last trading in BSE at Rs.109.85 as compared to the previous close of Rs. 103.1. The total number of shares traded during the day was 254055 in over 1705 trades.
The stock hit an intraday high of Rs. 113.4 and intraday low of 106. The net turnover during the day was Rs. 28330091.