Rane group completes restructuring processFebruary 15th, 2008 - 8:19 pm ICT by admin
Chennai, Feb 15 (IANS) City-based auto component manufacturers Rane group has completed its restructuring process in the wake of the approval given by the Madras High Court for a rejig scheme. The court sanctioned the scheme of de-merger, merger and amalgamation among the three group companies - Rane Engine Valves Ltd (REVL), Rane Brake Linings Ltd (RBLL) and Rane Holdings Ltd (RHL).
As per the scheme that was approved by the shareholders of the respective companies, the two manufacturing firms - REVL and RBLL - de-merged their manufacturing operations and transferred the same to two new entities, Rane Engine Valve Ltd and Rane Brake Lining Ltd.
The old companies with their residual assets (investments in group companies and some immovable assets) have merged with RHL.
The scheme is effective from April 1 last year and has become operational from Feb 6.
Under the rejig scheme, shareholders of REVL will be allotted one equity share in the new Rane Engine Valve and 0.56 shares in RHL for every one share held in REVL.
The shareholders of RBLL will be allotted one equity share in the new Rane Brake Lining and 0.75 shares in RHL for every one share held in RBL.
The record date for allotment of the new shares has been fixed as Feb 22.
The companies will submit their formal applications to the stock exchanges for listing the new shares immediately after the allotment and they are expected to be listed for trading in about a month’s time thereafter.
Tags: allotment, amalgamation, april 1, brake linings, component manufacturers, engine valve, engine valves, equity share, formal applications, group companies, holdings ltd, madras high court, merger, rane brake, rbll, residual assets, respective companies, revl, shareholders, stock exchanges