EMCO Infrastructure Limited cancelled the acquisition of infrastructure undertaking from EMCO Limited.

EMCO Infrastructure Limited entered into a scheme of arrangement to acquire the infrastructure undertaking from EMCO Limited (BSE:504008) for INR 4.2 billion in cash on June 25, 2015. The consideration will be paid by EMCO Infrastructure within 180 business days from the date of the scheme becoming effective. The consideration will be funded with a mix of debt, equity and internal accruals. The employees of infrastructure undertaking of EMCO Limited will be employed by EMCO Infrastructure. The transaction is subject to requisite approvals including the majority shareholders of EMCO Limited, creditors, the Securities and Exchange Board of India, Bombay Stock Exchange, National Stock Exchange of India Limited, the High Court of Judicature at Bombay and filing of certified copy of the order of the High Court sanctioning the transaction with the Registrar of Companies. The transaction is unanimously approved by the Board of Directors of EMCO Infrastructure and EMCO Limited on June 25, 2015. As on September 23, 2015, the Bombay Stock Exchange and National Stock Exchange of India have approved the deal. A meeting of equity shareholders of EMCO limited will be held on November 17, 2015 to consider the deal. As of November 17, 2015, the transaction is approved by the shareholders of EMCO Limited. SSPA & Co. acted as valuer, Saffron Capital Advisors Private Limited acted as fairness opinion provider for Emco Limited.

EMCO Infrastructure Limited cancelled the acquisition of infrastructure undertaking from EMCO Limited (BSE:504008) on February 9, 2016. The Board of EMCO took the decision to withdraw the scheme of arrangement in view of change in the current market conditions and scenario related to infrastructure business and lack of interest shown by Investors in Infrastructure Sector globally and particularly in India.