Kriti Ind to demerge, hive off its units

MUMBAI: Kriti Industries India on Thursday said it will demerge its solvent division into a separate company-Kriti Nutrients Ltd and hive off the engineering moulding division into a separate company- Kriti Auto and Engineering Plastics Pvt Ltd.

The board of directors of the company at its meeting recently approved both schemes, subject to shareholders approval, Kriti Industries said in a filing to the Bombay Stock Exchange.

Pursuant to the hive off of the engineering moulding division into a separate company - Kriti Auto and Engineering Plastics would be a wholly-owned subsidiary of the company.

The board of directors have also given consent to split the shares of the company from Rs 10 to Re 1 each, subject to shareholders approval.

The authorised capital of the company has also been reclassification of the present authorised capital of the company into equity share capital of Rs 8 crore divided into 8 crore shares of Re 1 each and optionally convertible preference share capital of Rs 2 crore divided into 20 lakh share of Rs 10 each, subject to approvals.

Shares of the company with a diversified product range in the field of plastic, oil and telecommunications were trading at Rs 100.40, up 4.26 per cent on BSE.