notice convening meeting of the Secured Creditors
Awaiting price reaction for this filing.
Mangalore Chemicals & Fertilizers Ltd (MCFL) has been directed by the NCLT Bengaluru Bench, via its order dated 1st May 2025, to hold a meeting of its secured creditors to vote on a proposed Composite Scheme of Arrangement. Under the scheme, MCFL (the Transferor Company) will amalgamate into Paradeep Phosphates Ltd (PPL, the Transferee Company), with MCFL shareholders receiving equity shares of PPL in exchange. The secured creditors' meeting will be held on Monday, 16th June 2025 at 2:00 PM via video conferencing, with remote e-voting open from 11th June to 15th June 2025. Approval requires a three-fourths majority in value of secured creditors voting, with the cut-off date for eligibility set at 31st January 2025. The scheme has already received Competition Commission of India approval (30th July 2024) and observation letters from BSE (27th February 2025) and NSE (28th February 2025). The merger aims to create one of India's largest integrated private-sector fertilizer companies, combining PPL's strength in eastern/northern markets with MCFL's southern presence, and pooling urea, nitrogenous, and phosphatic fertilizer portfolios.
This is a critical milestone toward the merger of MCFL into Paradeep Phosphates. If approved by secured creditors, followed by shareholder approval and final NCLT sanction, MCFL shareholders will become shareholders of PPL, and MCFL will cease to exist as a separate listed entity. Investors should watch for the meeting outcome on 16th June 2025 and the subsequent NCLT sanction as key catalysts.