Uday Jewellery Industries Limited has initiated a merger with Narbada Gems and Jewellery Limited, marking a significant step towards consolidation in the jewellery sector. The company has published notices in prominent newspapers regarding a petition for a scheme of arrangement under Sections 230-232 of the Companies Act, 2013.

Merger Details

The proposed amalgamation involves:

• Transferor Company: Narbada Gems and Jewellery Limited
• Transferee Company: Uday Jewellery Industries Limited

Public Notification

Following the directions of the National Company Law Tribunal (NCLT), Hyderabad, Uday Jewellery Industries has published notices in two newspapers:

Regulatory Compliance

The company has informed the BSE Limited about this development under the SEBI listing regulations. The scrip code mentioned in the communication is 539518.

Upcoming Board Meeting

Uday Jewellery Industries has scheduled a board meeting to discuss several important matters:

1. Review and approval of unaudited financial results
2. Consideration of a related party transaction for additional office space
3. Review of investor complaints and related party transactions
4. Discussion on internal audit report and statutory compliances

Financial Stability

ICRA Limited has recently reaffirmed the company's credit rating:

This stable rating suggests that the company maintains a moderate degree of financial strength as it moves forward with its merger plans.

The proposed merger and upcoming board meeting indicate that Uday Jewellery Industries is taking strategic steps to strengthen its position in the jewellery market. Investors and stakeholders will be watching the outcomes of these corporate actions and their potential impact on the company's future growth trajectory.

Uday Jewellery Industries Limited has reached a significant milestone in its proposed merger with Narbada Gems & Jewellery Limited. The National Company Law Tribunal (NCLT) has admitted the company's second motion petition for a scheme of amalgamation, marking a crucial step forward in the consolidation process.

Key Developments

• Petition Admission: The NCLT has admitted Uday Jewellery Industries' second motion petition for the scheme of amalgamation with Narbada Gems & Jewellery Limited.
• Upcoming Hearing: The petition is expected to be listed for hearing in the near future, though a specific date has not been announced.
• Commitment to Transparency: Uday Jewellery Industries has pledged to keep the stock exchange informed of any further developments in this matter as they unfold.

Implications of the Merger

The admission of the petition by the NCLT is a significant step in the merger process between Uday Jewellery Industries and Narbada Gems & Jewellery. Amalgamations in the jewellery sector can lead to various strategic benefits, potentially including:

• Expanded market presence
• Diversified product offerings
• Operational synergies
• Enhanced competitiveness in the luxury goods market

Next Steps

Investors and stakeholders will be closely watching for the outcome of the upcoming NCLT hearing. The tribunal's decision will be crucial in determining the path forward for the proposed amalgamation.

As the situation develops, Uday Jewellery Industries' commitment to keeping the exchange informed suggests that further updates can be expected in due course. Stakeholders are advised to stay tuned for official communications from the company regarding the progress of the amalgamation process.