BASF India, a part of the German chemical giant BASF SE, today said it has received its board's approval for the merger of Ciba India and its two affiliate firms with itself.
This follows the acquisition of Ciba Holding AG by BASF SE in April 2009.(See: BASF plans to acquire Ciba Holding AG for approximately €3.8 billion)
In a filing to the Bombay Stock Exchange (BSE), the company said the board has approved the scheme of amalgamation of three India Ciba Holdings companies, Ciba India Ltd, Diamond Dye-Chem Ltd and Ciba Research (India) Pvt Ltd with BASF India.
Equity Shareholders of Ciba India Ltd. and Ciba Research (India) Private Limited will receive shares in BASF India Ltd.
The share exchange ratio has been determined at 90 equity shares of BIL of Rs10 each fully paid for every 100 equity shares of Ciba India Limited of Rs10 each fully paid and 18 equity shares of BIL of Rs10 each fully paid for every 100 equity shares of Ciba Research (India Private Limited of Rs10 each fully paid.
The share-swap ratio determined for the conversion is based on fair values certified by two independent valuers and a Fairness Opinion provided by an independent merchant banker, and is subject to the approval by the Bombay High Court, the company said in press release.