RNRL merger ratio with Reliance Power fixed at 4:1

Reliance Power Ltd has announced that the Board of Directors of the Company ("Reliance Power") at its meeting held on July 04, 2010, has approved amalgamation of Reliance Natural Resources Ltd. ("RNRL") with Reliance Power, a group Company, through a Scheme of amalgamation.

The scheme envisages an exchange ratio of 1 equity share of Reliance Power for every 4 (four) equity shares of RNRL. The exchange ratio is based on the valuation made by KPMG.

The proposed Scheme will be subject to all necessary permissions and approvals as may be required.

The RNRL stock was trading at Rs.45.90, down by Rs.17.75 or 27.89%. The stock hit an intraday high of Rs.50.95 and low of Rs.45.50.

The total traded quantity was 13144298 compared to 2 week average of 10910800.

The Reliance Power stock was trading at Rs.178.10, up by Rs.2.95 or 1.68%. The stock hit an intraday high of Rs.189.80 and low of Rs.177.40.

The total traded quantity was 6375206 compared to 2 week average of 2128083.

Source : Equity Bulls

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