Inox Wind Board approves merger of Inox Wind Energy Limited into the Company

Inox Wind, India's leading wind energy solutions provider, today announced that as part of the strategic decision the Board of Directors of Inox Wind Limited at its meeting held on 12th June, 2023 considered and approved the Scheme of Arrangement which provides for amalgamation of Inox Wind Energy Limited ("IWEL"/ "Promoter & Holding Company"/ "Transferor Company") into Inox Wind Limited ("IWL" / "Company" / "Transferee Company") ("Scheme") subject to various regulatory approvals and compliances. The Appointed Date for the Amalgamation is set as 1st July, 2023.

The Board has considered the proposal based on independent fairness and valuation opinions and followed the process laid down under the Companies Act, 2013 and Securities and Exchange Board of India Regulations. Based on the reports of the independent valuers, the Board has approved swap ratios for the proposed amalgamation as below:

- 158 equity shares of face value of Rs. 10/- per share of IWL to be issued for every 10 equity shares of face value of Rs. 10/- per share of IWEL.

- 158 share warrants of IWL with an issue price of Rs. 54 each to be issued for every 10 share warrants of IWEL with an issue price of Rs. 847 each.

This consolidation aims to simplify and streamline the group's structure by reducing the number of listed entities. This move would result in the larger stronger entity having a stronger shareholder base. This merger is in interest of the shareholders of both the listed companies as it simplifies the structure, leading to simpler and efficient operations through one listed company and results in a much stronger shareholder base. By doing so, the Scheme also aims to foster improved operational synergy, focused operational efforts, standardized and simplified processes, and productivity enhancements. These measures are expected to enhance overall operational efficiency and effectiveness across the combined operations while reducing operational, administrative, and compliance costs.

Shares of Inox Wind Limited was last trading in BSE at Rs. 145.75 as compared to the previous close of Rs. 146.15. The total number of shares traded during the day was 80371 in over 1670 trades.

The stock hit an intraday high of Rs. 149.95 and intraday low of 144.50. The net turnover during the day was Rs. 11779478.00.

Source : Equity Bulls

Keywords

InoxWind INE066P01011 Amalgamation InoxWindEnergy