BSE, NSE gives no-objection letter to GHCL on the demerger of textile biz; stock spurts 5%

GHCL Limited had approved the scheme of arrangement involving demerger of textiles business undertaking of GHCL Limited to GHCL Textiles Limited in March.

Nov 24, 2020 01:11 IST India Infoline News Service

GHCL
GHCL Limited on Monday informed that stock exchanges (BSE and NSE) have given a no-objection letter to the scheme of demerger of GHCL’s textile business into GHCL Textiles.

The annoucement sent cheers among the investors as the stock was selling at Rs174.75 per piece up by Rs8.2 or 4.92% at around 1.35 pm. The scrip opened at Rs167 and has touched a high and low of Rs175 and Rs167 respectively.

Earlier on March 16, 2020, the Board of Directors of GHCL Limited had approved the scheme of arrangement involving demerger of textiles business undertaking of GHCL Limited to GHCL Textiles Limited, subject to receipt of applicable regulatory approvals.

“BSE Limited and the National Stock Exchange of India Limited, vide their letters dated November 19, 2020, have issued their Observation Letters as required under Regulation 37 of the Listing Regulations with ‘No adverse observation/ No-objection’, to the proposed Scheme,” company said.

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