Philips (I) Board Meet On April 26 To Decide Merging 3 Companies

Mumbai, April 24: | Updated: Apr 25 2002, 05:30am hrs
The board of Philips India Ltd (PIL) will meet on April 26, 2002 to consider among other matters, the scheme of arrangement for amalgamation of Philips Glass India Ltd, Punjab Anand Lamp Industries Ltd (PALI) and Electric Lamp Manufacturers India Ltd with PIL.

The current holding of Koninklijke Philips Electronics NV (KPENV), the Netherlands-based parent company, in Philips Glass India Ltd (erstwhile CG Glass Ltd) is 77.93 per cent.

In PALI, KPENV holds 96.3 per cent stake while Electric Lamp Manufacturers India Ltd is a 100 per cent owned subsidiary of Philips India Ltd.

In July 2001, KPENV had entered into agreements with Crompton Greaves Ltd and CDC Group plc, the promoters of CG Glass Ltd, to acquire their entire stake in the company.

Under the agreements, Philips agreed to buy the 28.8 per cent shareholding of Crompton Greaves Ltd and the 18 per cent shareholding of CDC Group plc in CG Glass Ltd at a price of Rs 13.75 per share.

Subsequently, in line with the Sebi takeover code, Philips then made an open offer for the entire balance equity shares of CG Glass at a price of Rs 13.75 per share.

After the open offer, PIL stake in CG Glass stood at 77.93 per cent and the name has been changed to Philips Glass India Ltd.

Having already acquired a 95 per cent stake in PALI through two open offers previously, KPENV had announced that it will make a ‘follow-on’ offer to shareholders of PALI in order to delist the company.

The Dutch parent’s holding in PIL is 91.47 per cent which has enabled PIL to move towards a delisting. At present institutional holding in PIL is around 0.07 while others hold 8.46 per cent.