NCLT sanctions HEG composite scheme of demerger and amalgamation

Nclt Scheme FiledDemerger Ratio AnnouncedCore Business DivestedStrategic Transactions View source PDF Explain this filing

HEG · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close

-4.9%Reaction day

₹744.20

prior close

₹741.00

announcement price

After-mkt

timing

Nifty Smallcap 250market-0.6%-4.2% vs market

Electrodes & Refractories peers, median of 9sector-1.4%-3.4% vs sector

On the reaction day the stock moved 4.2 pts less than Nifty Smallcap 250 and 3.4 pts less than its Electrodes & Refractories peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

+0.0

10m

-0.4

15m

-0.9

30m

-1.6

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

-4.9-0.6-4.2-1.4-3.4

Next day

-4.3-0.0-4.2-0.2-4.1

-4.3+0.4-4.7-1.4-2.9

-3.0+0.2-3.2-1.4-1.6

-3.1+0.0-3.1-0.8-2.3

-3.9+0.6-4.5-2.3-1.6

-0.8+0.8-1.6-2.3+1.6

15d

-64.6+0.5-65.1-0.9-63.7

-66.6-0.4-66.2-3.2-63.4

-70.6-5.0-65.6-4.8-65.8

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UpDownMarket · Nifty Smallcap 250Sector · Electrodes & Refractories peers, median of 9Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

NCLT Indore Bench sanctioned the Composite Scheme of Arrangement amongst HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited. HEG's graphite business will demerge into HEG Graphite on a 1:1 basis, while Bhilwara Energy merges into HEG at 8:7 ratio. Appointed date is April 1, 2024. Scheme becomes effective upon receipt of certified copy and filing with the Registrar of Companies.

Likely market impact

HEG shareholders will receive shares in HEG Graphite at 1:1 and additional HEG shares for Bhilwara Energy holdings at 8:7 ratio. Effective post ROC filing.