M&A

M&A

INOX Green to demerge power evacuation business into Resco Global

Business Line  

INOX Green Energy Services Ltd (IGESL) is to demerge its power evacuation business into Vadodara-headquartered Resco Global Wind Services Ltd.Under the scheme, shareholders of INOX Green will receive 122 equity shares of Resco (face value INR 10) for every 1,000 IGESL shares held. Warrant holders will get 122 convertible warrants of Resco at INR 205 each for every 1,000 IGESL warrants, currently priced at INR 145 each.The demerger aims to establish IGESL as a pure-play operations and maintenance (O&M) service provider for wind turbine generators, while consolidating the power evacuation business under Resco. The power evacuation business contributed 6.19% (INR 14.93 crore) to IGESL’s turnover in the last financial year.Post-demerger, IGESL’s shareholding pattern will remain unchanged with promoters holding 56.92% stake. However, Resco’s shareholding will see promoter holding decrease from 91.90% to 83.66%.