Essel group firm Zee Learn Ltd (ZLL), which is amalgamating Tree House Education and Accessories Ltd (THEAL) with itself, today announced a revised share swap ratio in which 10 shares of THEAL will fetch ten ZLL shares.
As per the new merger scheme, shareholders of THEAL will get shares in ZLL in 10:10 ratio.
"The Board of ZLL approved revised share swap ratio of 10 equity shares of ZLL of INR 1 each fully paid up for every 10 equity shares of THEAL of INR 10 each fully paid," the Essel group firm said in a statement.
It further added that amalgamation scheme would "put to rest uncertainty and anxiety within different stakeholders".
It would help mitigating the recent developments in operational performance of THEAL over the past few quarters, said ZLL.
On December 23, ZLL had said the swap ration would be:" 53 equity shares of ZLL of Rs one each fully paid up for every 10 equity shares of THEAL of Rs 10 each fully paid up capital."
According to ZLL, the amalgamation would strengthen its position in the educational landscape.
"Both ZLL and THEAL are in similar line of business activities and with a view to consolidate the business operations, the board of directors of both the companies have decided to amalgamate THEAL with ZLL," the company said in a BSE filing.
ZLL has turnover of Rs 139.00 crore while THEAL (has a turnover) of Rs 209.32 crore.
Presently, promoters has 61.55 per cent shareholding in ZLL and post merger it would be reduced to 54.37 per cent.
ZLL operates chain of K-12 schools, besides it has its preschool network Kidzee with more than 1,600 preschools in over 550 cities.
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