Announced Wed, 15 Jul · 20:50 IST

NCLT allows first motion for merger of subsidiary with Eyantra Ventures

Regulatory & Legal View source PDF

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AI summary

NCLT Hyderabad allowed the first motion application for the scheme of arrangement between Eyantra Ventures (transferee) and its wholly owned subsidiary Prismberry Technologies (transferor). The tribunal dispensed with meetings of equity shareholders and creditors of both companies. No new shares will be issued since Prismberry is wholly owned. Eyantra has 506 equity shareholders and 139 unsecured creditors who did not object to the scheme. Final approval will be sought in the second motion stage.

Likely market impact

Progresses internal restructuring without share dilution. Shareholders can still raise objections at the second motion hearing.