Lights, camera and action: PVR and Inox merger proposal gets green signal from stock exchanges!
Announced a merger deal to create the largest multiplex chain in the country.
Wednesday turned out to be a wonderful day for the multiplex operators - PVR and Inox Leisure as PVR informed via a press release that it has received an observation letter with “no adverse observations” dated June 20 from BSE while on June 21, it had received observation letter with “no objection” NSE in relation to the scheme of amalgamation.
The stock of PVR on a week-to-date basis jumped over 5 per cent while on Wednesday, it registered an intraday high of Rs 1,819. Interestingly, the stock of Inox Leisure has outperformed on a week-to-date basis as it climbed over 6 per cent while on Wednesday, it touched an intraday high of Rs 494.95.
In the month of March this year, PVR and Inox Leisure announced a merger deal to create the largest multiplex chain in the country.
After the merger, Inox will become a co-promoter in the merged entity along with the existing promoters of PVR.
Furthermore, the share-swap ratio as per the agreement stands as investors of Inox Leisure would receive three shares of PVR for every ten shares of Inox Leisure.