Ambalal Sarabhai updates on restructuring program

Ambalal Sarabhai Enterprises Ltd has announced that the Board of Directors has taken on record an agreement executed on August 21, 2007 with ONGC for the settlement of outstanding dues of Rs 42 crores payable in two (2) equal installments. It was also noted that the Company had already paid the first installment of Rs 21 crores. Based on the agreement reached, the Company is approaching the Supreme Court for vacating the Company's undertaking on the sale of its immovable assets.

Consequential upon this and as part of its restructuring program and in order to have better concentration and focus on its different business units, the Board at its meeting held on August 23, 2007 has decided to seek the approval of its share holders through a postal ballot U/s 192A and other applicable provisions of the Companies Act, 1956, and the rules made there under for the following proposals:

1. Transfer of the Bulk Drugs Division and Sarabhai Chemicals to its Wholly owned subsidiary.

2. Transfer of Electronics Division to its Wholly-owned subsidiary.

3. Disposal of portion of the industrial Land.

Source : Equity Bulls

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