Announced Tue, 22 Apr · 17:18 IST

Aditya Birla Fashion and Retail Limited has informed the Exchange about the Receipt of Certified copy of Order passed by Hon ble National Company Law Tribunal, Mumbai Bench ( NCLT ) approving the Scheme of Arrangement among Aditya Birla Fashion and Retail Limited ( Demerged Company ), Aditya Birla Lifestyle Brands Limited ( Resulting Company ) and their respective shareholders and creditors.

Nclt Scheme FiledStrategic Transactions View source PDF

ABFRL · price

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Price reaction · full curve

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AI summary

The National Company Law Tribunal (NCLT), Mumbai Bench, has approved the Scheme of Arrangement between Aditya Birla Fashion and Retail Limited (ABFRL) and Aditya Birla Lifestyle Brands Limited. Under the scheme, ABFRL will act as the Demerged Company and Aditya Birla Lifestyle Brands Limited will act as the Resulting Company. The demerger will separate ABFRL's lifestyle brands business into a new listed entity. Shareholders and creditors of ABFRL will become shareholders of the resulting company in proportion to their existing holdings. This is a significant step towards the previously announced restructuring plan to unlock value.

Likely market impact

Shareholders of ABFRL are likely to receive shares of the newly demerged entity (Aditya Birla Lifestyle Brands Limited), which may trade separately on the exchanges. The approval clears a major regulatory hurdle, but the record date and share allotment timeline are yet to be announced.