M&A
Kalpataru Power Transmission to merge subsidiary JMC Projects with itself
Mumbai-based, publicly listed Kalpataru Power Transmission Ltd (KPTL) will merge its Ahmedabad-based subsidiary JMC Projects (India) Ltd, also a listed entity, with itself. The merger is aimed at leveraging on operational synergies, and financial benefits arising from a consolidated balance sheet and credit profile. Under the deal, JMC's shareholders, other than KPTL, will be allotted one share of KPTL against every four shares held by them in JMC. The consolidated KPTL will have revenue of over INR 14,000 crore. The consolidated order book was worth INR 37,000 crore as of end-December. As independent valuers, Ernst & Young advised KPTL and Drushti R Desai (Partner at Bansi S. Mehta & Co.) advised JMC. JM Financial gave a fairness opinion for KPTL while Anand Rathi Advisors gave one for JMC. Khaitan & Co was the legal adviser for KPTL and JMC.
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