Zuari Agro in the green

Zuari Agro is in the limelight today morning. Yesterday, at the Board meeting, it was approved to merge three of its wholly owned subsidiaries into one company, to simplify the group structure and bring in better synergies in operations. The three companies are - Zuari Fertilisers and Chemicals, Zuari Rotem Speciality Fertilisers and Zuari Agri Sciences. Once the amalgamation scheme becomes effective, with appointment date fixed as 1 April 2015, the three companies would be dissolved. Their business will not be wound up and there will also be no change in the shareholding pattern of the company. No new shares or any scheme of shares will be issued to shareholders of Zuari Agro post this amalgamation.

The market is just happy that the structure is getting streamlined and thus more transparent. Intra day, the stock price rose almost 6% to Rs.168.