At meeting held on 27 August 2020
The Board of BASF India at its meeting held on 27 August 2020 have approved the Scheme of Merger by absorption of BASF Performance Polyamides India, a Wholly Owned Subsidiary, with BASF India and their respective Shareholders, subject to necessary statutory and regulatory approvals, including the approval of National Company Law Tribunal, Mumbai.BASF Performance Polyamides was originally incorporated as Rhodia Polymers & Specialties India on 31 January, 2011 and is into the business of manufacture/trading of performance polyamides having one manufacturing site at Panoli, Gujarat. It has wide range of engineering plastics (major brand: Technyl) and serves automobiles, electrical and consumer goods. The audited aggregate revenue (Operations & Other Income) of BASF Performance Polyamides for the past 3 financial years i.e. FY 2016-17, FY 2017-18 and FY 2018-19 was Rs.131.42 crore, Rs. 174.13 crore and Rs. 246.85 crore respectively.
It may kindly be noted that as BASF Performance Polyamides is a wholly owned subsidiary of the Company, no consideration shall be payable pursuant to the merger of the BASF Performance Polyamides with the Company. Further, there will be no change in the shareholding of the Company, pursuant to the said merger.
The merger of BASF Performance Polyamides with the Company would strengthen the Company's position as a solution provider for key industries & would enhance market access to key growth markets. It would help the Company in expanding its existing 'Materials' segment and extend value chain through backward integration into key raw materials. The Polyamides business also has operational synergies with the Engineering Plastics business of the Company and merging BASF Performance Polyamides with the Company will ensure focused management thereby resulting in efficiency of management and maximizing value to the shareholders.
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