Grasim managed to get a stay from the court on this proposed de-merger. Whether the demand for an indemnity by Grasim would be suggestive of an agreement on a price of Rs. The Minutes recorded that the issue was to be discussed with Grasim’s Advocate who was then not available. However, this time around the situation was a bit different. His tenacity in holding off the bids, and his tendency to extract positives from negative situations, made friends of Mr. It may be sufficient to say that RIL could not manage to get support from the government, public at large and financial institutions.

However, Birlas were aware that in the next immediate 4 to 5 years cement business would turn highly profitable and valuations would skyrocket. This was as a result of the capital restructuring of the First Plaintiff upon which there was a reclassification of Buy Entrance Exam Forms. Both the Defendants are Companies incorporated under the Companies’ Act, , the Second Defendant being a wholly owned subsidiary of the first. Birla were present for the release of The Nationalist , a biography of Mr. If CDC decided to hold on to the debentures, it could redeem them in three equal installments between and

After acquisition the combined capacity of Grasim and UltraTech went up to 31 mn tonnes, making Grasim the largest producer in India and the eighth largest in the studh.

De-merger of UltraTech Cement by L&T and its acquisition by Grasim

The effective date under the Scheme of Arrangement was 13th May Naik by Minhaz Merchant. Would you like to autologin to the network?


The Second Plaintiff thereafter, applied for and obtained the permission of SEBI for the acquisition of an additional 0.

grasim vs l&t case study

By consent, the Motion has been taken up for final disposal. The sanction of the Learned Company Judge to the Scheme of Arrangement was expressly sought on the basis that under the Scheme, the Employees’ Trust will acquire For delivery in electronic format: The price of Rs.

More importantly, we have been in tough situations together. In or aboutthe First Defendant “Grasim” held With this Grasim would receive approx. The number of equity shares was reduced to half and face value to one fifth. This article is closed for comments. The essential requirement of a novatio under Section 62 of the Contract Act is that there must be a complete substitution of a new contract in place of the old which would have the effect of rescinding, altering or extinguishing the previous contract.

November 18, The first and foremost reason was survival.

The Restructuring Agreement was therefore, to be the agreement embodying the entire transaction and defining parties’ rights, obligations and entitlements. There was an error processing the request. An issue shall have to be framed thereon and a finding rendered at the trial of the suit. It may be noted that the price which had originally been fixed at Rs.


Equity ratio sharply improved to 0. The earlier understanding between the parties was that Its my turn to describe Intern. Piyush Pandey November 18, It was decided that post de-merger, Grasim will acquire the control of the resultant cement company.

Finance Case Study – A Takeover Battle – Grasim vs. L&T – Case Study, Case Studies

On 6th JulyGrasim transferred The takeover fs are an important part of this biography. The strike price was fixed as Rs per share.

This was followed by the Deed of Covenant which incorporated the same understanding. Adoption of micro insurance: The rules for success by Steve jobs. The sale price of Rs.

grasim vs l&t case study

A Tug of War Grasim came out with an alternate vertical demerger plan in November Grasim Cement and competitor. They managed to retain ready mix cement business and other key assets of the cement division as stated earlier.