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Kalindee Rail declines on merger with Texmaco Rail

Kalindee Rail dived 10% to Rs 122, while Texmaco Rail gained nearly 9% to Rs 108 on the National Stock Exchange.

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SI Reporter Mumbai
Last Updated : May 22 2014 | 10:05 AM IST
Kalindee Rail Nirman (Engineers) is locked at the lower circuit of 10% at Rs 122 on the NSE after the company said its board approved the merger with Texmaco Rail & Engineering.

The board of directors of the company, at its meeting held on May 21, 2014, has approved a scheme of amalgamation, whereby the company shall be amalgamated into and with Texmaco Rail & Engineering, Kalindee Rail said in a statement.

The board has fixed the share swap ratio 1: 1.06, i.e., 106 fully paid-up equity shares of Rs 1 each of Texmaco shall be issued for every 100 fully paid-up equity share of Rs 10 each held by a shareholder in the company, it added.

At 0950 hours, a combined 116,159 shares changed hands on the counter and there are pending sell orders for 395,187 shares on the NSE and BSE.

On the other hand, Texmaco Rail and Engineering has rallied nearly 9% to Rs 108 on the NSE. The stock opened at Rs 105 and has touched a high of Rs 109 so far. A combined 562,000 shares changed hands on the counter on the NSE and BSE.

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First Published: May 22 2014 | 9:56 AM IST

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