CHENNAI, May 30: Integrated Advisory Services Limited (IASL), which is to be merged with Integrated Enterprises (India) Limited, is trying to offload its portfolio in a unique fashion. IASL shareholders are being offered 20 lakh shares of Shriram City Union Finance Limited (SCUF) as consideration.

The swap ratio fixed at the board meeting of Integrated Enterprises today, provides an option to the shareholders of IASL to either get three shares of SCUF and one 12 per cent preference share of Integrated Enterprises of face value of Rs 10, or three such 12 per cent preference shares and Rs 10 in cash.Integrated Enterprises hold 75 per cent of the share capital of IASL, the balance 25 per cent being with 3000 and odd shareholders.

IASL shares were offered to the public at a price of Rs 40 per share in July 1995. The merger will be effective from April 1, 1997. The merger proposal will be referred to the court on June 16, after the summer vacation.

Explaining the rationale behind the merger proposal, P Vaidyanathan, Managing Director, Integrated Enterprises, told The Indian Express, ``There was practically no liquidity in the IASL scrip. Though the company paid a dividend of 50 per cent in 1995-96 and declared a 20 per cent interim dividend for 1996-97, the exit route for the investors is not proper.''

He said IASL had established infrastructure facilities and `excellent manpower', which could serve Integrated Enterprises.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.