Innovassynth Investments Limited (IIL) has reached a significant milestone in its corporate restructuring efforts. The company recently announced the receipt of certified true copies of orders from the National Company Law Tribunal (NCLT), sanctioning its merger by absorption with Innovassynth Technologies (India) Limited (ITIL).

Key Details of the Merger

Implications and Benefits

The merger is expected to bring about several advantages for the combined entity:

1. Operational Synergies: The integration of the two companies is likely to streamline operations and enhance overall efficiency.

2. Cost Efficiencies: By combining resources and eliminating duplications, the merged entity stands to benefit from reduced operational costs.

3. Simplified Corporate Structure: Post-merger, Innovassynth Technologies (India) Limited will be dissolved without winding up, leading to a more streamlined corporate structure.

Next Steps

The scheme of merger will become effective upon filing the NCLT orders with the Registrar of Companies. This marks the final regulatory hurdle in the merger process, paving the way for the integration of the two entities.

Investor Implications

Shareholders of both companies should take note of the following:

• The 1:1 share exchange ratio ensures that the interests of ITIL shareholders are preserved in the merged entity.
• Investors may expect potential value creation through the realization of synergies and improved operational efficiency.
• The market will be closely watching how smoothly the integration process unfolds and its impact on the combined entity's performance.

As this corporate action unfolds, stakeholders are advised to stay informed about further announcements regarding the completion of the merger process and any subsequent changes in the company's operations or financial structure.

Innovassynth Investments Limited (IIL) has reported a consolidated loss of Rs 1,172.44 lakhs for the half-year ended September 30, 2025, according to the company's latest financial results. This marks a slight increase in losses compared to the previous year's figure of Rs 1,158.37 lakhs for the same period.

Key Financial Highlights

All figures in Rs lakhs

The company's financial performance was significantly impacted by losses from its associate company, which contributed Rs 1,125.22 lakhs to the total consolidated loss.

Proposed Merger

In a significant development, the Board of Directors of Innovassynth Investments Limited has approved a draft merger scheme with its associate company, Innovassynth Technologies (India) Limited (ITIL). This strategic move aims to streamline operations and potentially improve the company's financial position.

Financial Review Process

The unaudited financial results for the quarter and half-year ended September 30, 2025, were reviewed by the Audit Committee and subsequently approved by the Board of Directors. The review was conducted in accordance with the Indian Accounting Standards (Ind AS) and other accounting principles generally accepted in India.

Auditor's Review

P G Bhagwat LLP, the company's statutory auditors, conducted a review of the financial statements. In their limited review report, they stated that nothing has come to their attention that causes them to believe that the financial results do not present a true and fair view in accordance with applicable accounting standards and other recognized accounting practices.

Conclusion

As Innovassynth Investments Limited navigates through these financial challenges and structural changes, the proposed merger with Innovassynth Technologies (India) Limited could be a significant move. The success of this merger, once implemented, may impact the company's future financial performance and market position.