IPCL to merge its six polyester subsidiaries

Mumbai, Apr 25: Indian Petrochemicals Corporation Ltd (IPCL) today said it will merge its six polyester manufacturing subsidiaries with itself.

The board of directors have approved the merger of Apollo Fibres Ltd (AFL), Central India Polyester Ltd (CIPL), India Polyfibres Ltd (IPL), Orissa Polyfibres Ltd (OPL), Recron Synthetics Ltd (RSL) and Silvassa Industries Pvt Ltd (SIPL) with the company.

The merger is subject to necessary approvals from shareholders, creditors and other regulatory authorities.

The board has recommended an exchange ratio of one equity share of IPCL for every 25 equity shares of AFL, 23 shares of CIPL, 28 shares of IPL, 28 equity shares of OPL, 34 shares of RSL and 38 equity shares of SIPL, IPCL informed the Bombay Stock Exchange.

This would result in issuance of 3.91 crore equity shares of the company, to the shareholders of the merging companies and post merger, IPCL's share capital would increase to 28.73 crore equity shares from 24.80 crores equity shares, it said.

The appointed date of merger is April 1, 2005 and the exchange ratio has been determined on the basis of a joint valuation report by PricewaterhouseCoopers Pvt Ltd and SBI Capital Markets Ltd.

UNI