Gujarat NRE Coke
consolidates its Indian operations
Kolkata, 28th
September, 2012 – The Board of Directors of Gujarat NRE Coke Limited, in a Board
meeting held today post the 25th AGM of the Company, has decided to
amalgamate Bharat NRE Coke Limited (BNCL) with Gujarat NRE Coke Limited (GNCL),
the flagship Company of the group. As per the scheme of amalgamation, BNCL
shareholders would receive 2 shares of GNCL for every share held by them in
BNCL. This would result in increase of paid up capital of GNCL by approximately
8.8%.
Speaking on the occasion Mr Arun Kumar Jagatramka, CMD, Gujarat NRE
Coke Ltd said, “This amalgamation would help in improving the organizational
capability and leadership. We aim to achieve greater integration coupled with
financial strength and flexibility for the amalgamated company that would
finally result in maximising shareholder value. This amalgamation will bring
administrative as well as operational rationalisation, organisational
efficiencies leading to economies of scale as well as optimal utilization of
available resources.”“We also expect that we will be able to minimize costs due
to more focussed operational effort, standardization and simplification of
business processes, thereby enhancing productivity”, he added.
BNCL, an unlisted group
Company of Gujarat NRE group, owns a met coke producing facility at Dharwad,
Karnataka with an installed capacity of 0.32 MTPA (Million tonnes per annum).
The current met coke production capacity of GNCL is 0.930 MTPA and would go up
by 34.8% subsequent to this merger.
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