Engineering Excellence in Metal Forming and High-Quality CDW Tubes
Scheme of Arrangement - Demerger
Scheme of
Arrangement
•
murugappȧ
Segregating the Manufacturing Businesses under the Scheme of Demerger to a
separate Company
• Board Approved the Scheme on 3rd November 2016
•Appointed date is 1st April 2016
The Scheme is subject to necessary regulatory approvals
Manufacturing
Businesses
.
• Comprises of manufacturing of tubes, strips, tubular components, bicycles and
fitness products, chains, roll-formed sections, other metal formed products and
Investments in Shanthi Gears Limited (Industrial gears), TI Tsubamex Private
Limited (designing and manufacturing of dies) and Sedis (Industrial Chains)
Financial
Service
Businesses (As
Investments)
• Cholamandalam Investment and Finance Company Limited (46.2%)
• Cholamandalam MS General Insurance Company Limited (60%)
• Cholamandalam MS Risk Services Limited (49.5%)
Post Demerger
• Two Companies - Manufacturing Company and Financial Services Company
• Both Companies will have mirror image shareholding
Resulting Company issues 1 fully paid up Equity Share of INR1 each for every 1
fully paid up equity share of INR2 each held in the Demerged Company
• Reduction of face value of Demerged Company from INR2 each fully paid to INR1
each fully paid
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