Ahmedabad-based pharmaceutical company Cadila Helthcare announced, its shareholder approved the plan to restructure its consumer product division as a subsidiary firm under Carnation Nutra Analogue Foods for share swap ratio of 4:15.
The shareholders and unsecured creditors approved a scheme under which Carnation would allot four shares to the shareholders of Cadila Healthcare for every 15 shares held in the company, informs communique by the company to BSE.
Under the scheme of arrangement, Cadila Healthcare would demerge its consumer products division (CPD), and merge Zydus Hospitals and Medical Research with itself. Carnation is a 61.56 per cent subsidiary of Cadila Healthcare.
The board of Cadila had earlier approved the modalities of the business restructuring and had said that the process would be completed by early 2009.
Pursuant to the restructuring, Carnation would continue to remain a listed subsidiary of the parent firm. However, the scheme of arrangement is subject to Gujarat High Court's approval.