M&A Critique - M&A Digest

[m-n-a-critique]

Reliance preparing to create the largest Indian Green Energy Company

Reliance preparing to create the largest Indian Green Energy Company

Mr. Mukesh Ambani, chairman of Reliance Industries Limited (RIL) at its last annual general meeting for FY 21 announced RIL’s ambitious plan relating to the renewable energy business. RIL aims to be amongst the largest integrated renewable energy manufacturer in the world. Recently, Reliance Industries Limited announced the transfer of “Gasification Undertaking” to a wholly-owned subsidiary. The…

View On WordPress

[m-n-a-critique]

Analysis – Merger of LLPs – A Start

Analysis – Merger of LLPs – A Start

Section 60 and 62 of the Limited Liability Partnership Act, 2008 (The LLP Act) deals with the compromise, arrangement, and reconstruction of the Limited Liability Partnership. The terms compromise, arrangement and reconstruction are not defined under the LLP Act. In a much-awaited transaction to set precedent for the merger of LLPs, Hon’ble National Company Law Tribunal (NCLT), Delhi bench has…

View On WordPress

[m-n-a-critique]

NCLAT Judgement on Dispensation of Meeting of Unsecured Creditors in case of Merger of Wholly Owned Subsidiary with its Holding Company

NCLAT Judgement on Dispensation of Meeting of Unsecured Creditors in case of Merger of Wholly Owned Subsidiary with its Holding Company

Ericsson India Private Limited (Transferor Company) WoS and Ericsson India Global Services Private Limited (Transferee company) have filed a Joint Company Scheme Application for amalgamation with Hon’ble National Company Law Tribunal, New Delhi Bench (NCLT). Transferor Company is a wholly-owned subsidiary of the Transferee Company. Joint Scheme Application prayed for the dispensation of a…

View On WordPress

[m-n-a-critique]

ALLCARGO dumping assets heavy business into a separate company to invite financial investor

ALLCARGO dumping assets heavy business into a separate company to invite financial investor

Starting as a Multimodal Transport Operator Company, Allcargo Logistics Limited diversified across various other ancillary businesses. Last year, with the acquisition of Gati Limited, Allcargo Logistics Limited’s vision to become an integrated logistics company seems to be fulfilled but ushered in the consolidation of various businesses having different risks and returns. To accelerate growth and…

View On WordPress

[m-n-a-critique]

AMENDMENTS TO SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015, IN RELATION TO REGULATORY PROVISIONS ON RELATED PARTY TRANSACTIONS (RPT’S)

AMENDMENTS TO SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015, IN RELATION TO REGULATORY PROVISIONS ON RELATED PARTY TRANSACTIONS (RPT’S)

SEBI (Securities Exchange Board of India) in its Board meeting held on September 28, 2021, approved the amendments in RPT (Related Party Transactions) framework that were proposed by the Working Group1 (‘WG’) in January 2020 relating to the following areas: Definition of a Related Party.Definition of Related Party Transactions (‘RPTs’).Thresholds for classification of RPTs as material.Process to…

View On WordPress

[m-n-a-critique]

Shriram’s mega re-jig - Looking for God Shri Ram blessings

Shriram’s mega re-jig – Looking for God Shri Ram blessings

Shriram Group announced the long-awaited re-jig of its group structure. The proposed re-jig entails consolidation of finance business under one listed company and its other businesses (insurance) continues to be placed outside the listed entity. Shriram Group is India’s leading financial conglomerate with a dominant presence in commercial vehicle (CV) financing, retail financing, chit fund,…

View On WordPress

[m-n-a-critique]

SOP - OBSERVATION LETTER FROM THE STOCK EXCHANGE FOR THE SCHEME OF ARRANGEMENT

SOP – OBSERVATION LETTER FROM THE STOCK EXCHANGE FOR THE SCHEME OF ARRANGEMENT

The Scheme of Arrangement seeking Stock Exchange’s NOC under Regulation 37 of SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015 (‘SEBI LODR’) shall be submitted to the Exchange along with all the documents as per the Exchange Checklist within 15 working days of board meeting approving the draft scheme of arrangement. Securities and Exchange Board of India (SEBI), from time…

View On WordPress

[m-n-a-critique]

SOP - OBSERVATION LETTER FROM THE STOCK EXCHANGE FOR THE SCHEME OF ARRANGEMENT

SOP – OBSERVATION LETTER FROM THE STOCK EXCHANGE FOR THE SCHEME OF ARRANGEMENT

The Scheme of Arrangement seeking Stock Exchange’s NOC under Regulation 37 of SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015 (‘SEBI LODR’) shall be submitted to the Exchange along with all the documents as per the Exchange Checklist within 15 working days of board meeting approving the draft scheme of arrangement. Securities and Exchange Board of India (SEBI), from time…

View On WordPress

[m-n-a-critique]

National Peroxide Limited Demerger - Wadia group create core chemical company

National Peroxide Limited Demerger – Wadia group create core chemical company

Increasing use of Hydrogen Peroxide in versatile applications like pulp and paper industry, textile, water treatment, and its usage in the food and beverage industry is triggering the product’s overall demand. The growing public awareness has compelled most paper manufacturers to invest heavily in greener technologies which are to be used in the paper manufacturing process where Hydrogen Peroxide…

View On WordPress

[m-n-a-critique]

Kubota to have controlling rights in Escorts making it a Japanese MNC company

Kubota to have controlling rights in Escorts making it a Japanese MNC company

The Indian tractor industry is the largest in the world. Despite pandemic, the domestic tractor sales for the FY (Financial Year) 2021 were the best in the history of the tractor industry. With sea changes, along with tractors, farm equipment market is also pegged for supernatural growth in the coming period. To reap most of the future opportunity, Japanese Company Kubota Corporation, recently…

View On WordPress

[m-n-a-critique]

RAYMOND’s: Creating Value or Confusion!

RAYMOND’s: Creating Value or Confusion!

In 2019, following the industry trend, Raymond Limited announced demerger of “Branded Apparel Business” paving the way for its listing. The move was intended to separate the core activity from other activities such as Real Estate, Auto Components, Engineering, etc., which the group transformed over a period. Two years have passed but the company had not received approval from the Honorable…

View On WordPress

[m-n-a-critique]

Save Solutions acquires New Habitat Housing Finance for Rs 74 crore

Save Solutions that offers financial products via kiosk banking across India has acquired New Habitat Housing Finance for Rs 74 crore. The Bihar-head quartered company is working to offer its customers all-around financial products by also adding housing loans to the equation. Besides Bihar, the company will simultaneously extend its reach to other states including Delhi-NCR and UP. “The…

View On WordPress

[m-n-a-critique]

ITC to acquire 16% stake in D2C brand Mother Sparsh

Conglomerate ITC on Friday said it will acquire a 16 per cent stake in Mother Sparsh, a D2C Ayurvedic and natural personal care brand, for Rs 20 crore through a share subscription agreement. Mother Sparsh is a premium Ayurvedic and natural personal care start-up in the D2C space, focusing on mother and baby care segments. “The said acquisition will, inter alia, enable access to the fast-growing…

View On WordPress

[m-n-a-critique]

NCLAT extends time for completing insolvency process for Vasan Healthcare

The National Company Law Appellate Tribunal has granted more time till November 30 for completing the insolvency resolution process for Vasan Healthcare and set aside an NCLT order, saying the timeline could be extended in view of exceptional circumstances and save the company from liquidation. A two-member Chennai Bench of the appellate tribunal has also excluded the time spent in filing appeals…

View On WordPress

[m-n-a-critique]

Encube Ethicals to buy Soframycin for Rs 125 crore for India & SL markets

Encube Ethicals on Friday said it has agreed to buy popular topical anti-microbial brand Soframycin and other brands from French drugmaker Sanofi for India and Sri Lanka markets for Rs 125 crore. Along with Soframycin, Encube will also acquire other legacy associated brands such as Sofradex (antibacterial cream), Sofracort (antibacterial eye and ear drops), Soframycin-Tulle (antibacterial cream)…

View On WordPress

[m-n-a-critique]

Reliance  may slice up oil-to-chemical biz to unlock value

Reliance Industries Ltd (RIL) may hive off parts of its oils-to-chemicals division to make it easier to induct investors and unlock value after it scrapped a plan to sell a $15 billion stake in the business to Saudi Aramco, according to two officials aware of the development. As the first step of the new strategy, RIL decided to transfer the company’s gasification assets to a wholly-owned…

View On WordPress

[m-n-a-critique]

Razorpay seeks to raise $270 million

Venture capital firm TCV is in advanced talks with Razorpay to lead a new $270 million fundraising by the fintech unicorn, two people familiar with the matter said. The Series F round of funding is likely to more than double Razorpay’s valuation to around $6.5 billion ( ₹48,345 crore), the people said on condition of anonymity. TCV counts leading global tech firms such as Netflix and Airbnb among…

View On WordPress