The Board of UltraTech Cement Ltd (UTCL), an Aditya Birla Group company, on Monday approved the merger of its subsidiary Narmada Cement Company Ltd (NCCL) with UTCL.
Ultratech Cement holds 97.80% of the paid up equity share capital of NCCL, a sick company under the provisions of the Industrial Companies (Special Provisions) Act, 1985. The merger is subject to approval of UTCL shareholders, BIFR (Board for Industrial and Financial Reconstruction) and other statutory authorities.
NCCL will amalgamate with UTCL with effect from October 1, 2005 on receipt of requisite approvals and orders. Accordingly, the shareholders of NCCL shall be allotted one equity share of the face value of Rs 10 each credited as fully paid-up in UTCL for every 18 equity shares of the face value of Rs 10 each credited as fully paid-up in NCCL. With this amalgamation, UTCL has a combined capacity of 17 mtpa. UltraTech was incorporated as “L&T Cement Limited”, a 100 per cent subsidiary of Larsen & Toubro Limited. The name of the company was changed to UltraTech Cemco Limited with effect from November 19, 2003. The name was again changed to UltraTech Cement Limited when Grasim took over the control of L&T’s cement division, thus, making it a part of the Aditya Birla Group. Published under Cement News