Ingersoll Rand India's road development business to be transferred to Volvo India Pvt Ltd

With reference to the earlier announcement dated February 27, 2007, the Company had informed that its parent Company viz "Ingersoll - Rand Company, USA had on February 27, 2007 announced that its has entered into an agreement to sell its worldwide road development business to AB Volvo (Publ), Sweden, Ingersoll Rand India Ltd has announced that the Board of Directors of the Company at its meeting held on March 16, 2007 has agreed, subject to the approval of the shareholders, to sell, transfer, assign or dispose of the whole of the road development business (the "Undertaking") of the Company comprising of all fixed assets located at Plot No 7 & 8, Phase 1, Peenys Industrial Area, Bangalore, movable assets and other assets and liabilities including manpower, contracts, licences, permits, consents and approvals, whatsoever, relating to the Undertaking, to Volvo India Pvt Ltd, as a "going concern" by way of slump sale for an aggregate consideration of Rs 2,318.20 million.

Requisite approval from the shareholders as per the provisions of Sections 293(1)(a), 192A and other applicable provisions of the Companies Act, 1956 read with Companies (Passing of the Resolutions by Postal Ballot) Rules, 2001 is being obtained. The results of the postal ballot will be announced at the Extraordinary General Meeting to be held on April 28, 2007.

The Undertaking will be transferred to Volvo India Pvt Ltd on completion of all necessary statutory compliances, from such date as may be agreed to between the Board of Directors of the Company and Volvo India Pvt Ltd in the best interest of the Company.

Source : Equity Bulls

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