OREANDA-NEWS. Tata Steel Limited (TSL) announced that its Committee of Directors and the Board of Directors of Tata Metaliks Limited (TML) and Tata Metaliks Kubota Pipes Limited (TMKPL), a 100% subsidiary of TML, have approved the proposal of merger of TML & TMKPL with TSL through a Scheme of Amalgamation to be sanctioned through a court approval process. The valuation reports prepared by Independent Chartered Accountants- SR Batliboi & Co. LLP and Haribhakti & Co. and fairness opinion prepared by ICICI Securities were placed before the Audit Committees of TSL and TML. Based on the aforesaid valuation reports and the fairness opinion, the Audit Committees of TSL and TML have furnished their reports, recommending the Scheme, formulated under Sections 391-394 of the Companies Act, 1956.

The Scheme will be filed with the Stock Exchanges where the shares of TSL and TML are listed, as per SEBI circular no. CIR/ CFD/ DIL/5/ 2013 dated 4th February’13, for receiving their comments to the scheme and shall be submitted for sanction to the Hon’ble High Courts of Judicature of Bombay and Calcutta. Sanctioning of the Scheme will also be subject to the approvals of the shareholders and creditors.

The scheme, inter alia, envisages synergies through aligning the activities of a single value chain within one legal entity. Based on the fairness opinion of ICICI Securities on the valuation of independent Chartered Accountants- M/s SR Batliboi & Co and LLP Haribhakti & Co., 4 (four) Equity shares of Rs. 10 each of TSL shall be issued for every 29 (Twenty nine) Equity shares of Rs. 10 each held by the public shareholders of TML upon approval of the scheme by the courts. TSL along with a subsidiary holds 50.09% of the equity share capital of TML.