NCL Industries considers merger of NCL Energy Ltd

NCL Industries Ltd has announced that the Board of Directors of the Company at its meeting held on August 30, 2006 has considered the proposal for amalgamation of NCL Energy Ltd into the Company, pursuant to the provisions of Sections 391 to 394 of the Companies Act,l956 and approved the proposal, subject to approval of the members, creditor of both the Companies and the sanction of the Hon’ble High Court of Andhra Pradesh.

The Board of Directors of both the Companies agreed to the recommendation of M/s Deloitte Haskins & Sells, Chartered Accountants for the share exchange ratio of one equity share of the Company to be issued for every six equity shares of NCL Energy Ltd. The equity of the Company would increase by Rs 26 million on account of the merger which will be effective from April 01, 2006.

NCL Energy Ltd is a company engaged in generation of hydel power, having two projects of 7.5 MW and 8.25 MW in Andhra Pradesh and Karnataka respectively, generating power for the last few years.

Source : Equity Bulls

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