Description
NCLT approves merger of Udaipur Cement Works Limited into JK Lakshmi Cement Ltd with share exchange ratio of 4:100
Summary
The National Company Law Tribunal (NCLT) Jaipur Bench has approved the Composite Scheme of Arrangement for amalgamation of Udaipur Cement Works Limited (Scrip Code: 530131) into JK Lakshmi Cement Ltd. Trading in Udaipur Cement Works Limited will be suspended from August 25, 2025.
Key Points
- Udaipur Cement Works Limited will be merged into JK Lakshmi Cement Ltd
- Record date for amalgamation: August 25, 2025
- Share exchange ratio: 4 equity shares of JK Lakshmi Cement Ltd (face value ₹5 each) for every 100 equity shares of Udaipur Cement Works Limited (face value ₹4 each)
- Trading suspension effective from August 25, 2025 (Settlement No. DR-701/2025-2026)
- NCLT Jaipur Bench has approved the scheme
Regulatory Changes
Composite Scheme of Arrangement approved by NCLT providing legal framework for the merger of the two cement companies.
Compliance Requirements
- Trading members must note the suspension of trading from the record date
- Shareholders of Udaipur Cement Works Limited will receive new shares of JK Lakshmi Cement Ltd as per the approved ratio
- All regulatory approvals obtained from NCLT
Important Dates
- Record Date: August 25, 2025
- Trading Suspension Date: August 25, 2025
- Settlement Number: DR-701/2025-2026
Impact Assessment
High impact corporate action affecting all shareholders of Udaipur Cement Works Limited who will receive JK Lakshmi Cement Ltd shares. The 4:100 exchange ratio represents significant consolidation in the cement sector. Trading suspension will affect liquidity for the amalgamating company’s scrip.
Impact Justification
Major corporate restructuring affecting shareholders with mandatory share conversion