Equity Increase After Merger

#1
DEAR TRADERJI,
CAN U KINDLY EXPLAIN WHAT THE NEWS ITEM(BELOW) MEANS.DOES IT MEAN THAT NOW AFTER THE MERGER J J EXPORTERS WILL BE THE LARGEST COMPANY WITH EQUITY OF 923 CR?.HOW WILL THE MARKET VIEW WHEN THE COMPANY INCREASES IT EQUITY FROM 7.18 CR TO 923 CR.
KINDLY GIVE YOUR VIEWS.
thnx for your mail to join the discussion after a gap.

MESSAGE -NEWS ITEM=====J.J.Exporters equity to go up to Rs 926 crore post merger
Thursday, June 16, 2005

The equity capital of J.J.Exporters, exporter of silk items, will rise toRs 926 crore after the merger of its wholly-owned subsidiary PoojaCreations and J.J.Spectrum with itself.

The merger ratio has been fixed at one share of J.J.Exporters for everyeight shares of J.J.Spectrum, while in the case of Pooja Creations theentire equity base will be diluted.
 
#2
WILL IT BE THE LARGEST COMPANY IN THE TEXTILE SPACE AFTER THE MERGER WITH RS 923 CR EQUITY,)J J EXPORTERS.
GOKALDAS EXPORTS HAS EQUITY OF RS17.19CR ONLY.WHICH IS IN THE SAME BUSSINESSThe Board has approved the following:

1. In case of JJ Spectrum Silk Ltd, shareholders will get equity share of the Company against of equity shares in JJ Spectrum Silk Ltd.

2. In case of Pooja Creations Ltd, N.A, since its being 100% subsidiary.

Further the Company has informed that the Board has also approved the expansion programme by setting up an EOU at Diamond Harbour Road, West Bengal, with an install capacity of 6 lacs meters of fabric per annum and a total outlay of Rs 232 million.
 

Traderji

Super Moderator
#3
drvasurao85 said:
DEAR TRADERJI,
CAN U KINDLY EXPLAIN WHAT THE NEWS ITEM(BELOW) MEANS.DOES IT MEAN THAT NOW AFTER THE MERGER J J EXPORTERS WILL BE THE LARGEST COMPANY WITH EQUITY OF 923 CR?.HOW WILL THE MARKET VIEW WHEN THE COMPANY INCREASES IT EQUITY FROM 7.18 CR TO 923 CR.
KINDLY GIVE YOUR VIEWS.
thnx for your mail to join the discussion after a gap.

MESSAGE -NEWS ITEM=====J.J.Exporters equity to go up to Rs 926 crore post merger
Thursday, June 16, 2005

The equity capital of J.J.Exporters, exporter of silk items, will rise toRs 926 crore after the merger of its wholly-owned subsidiary PoojaCreations and J.J.Spectrum with itself.

The merger ratio has been fixed at one share of J.J.Exporters for everyeight shares of J.J.Spectrum, while in the case of Pooja Creations theentire equity base will be diluted.
This means that the entire share capital of the two companies will be passed on to JJ Exporters after the merger and hence the equity of JJ Exporters will go up to reflect the included share capital of the other two companies.
 

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