Penny stocks under Rs 10: Price Waterhouse & Co (PwC) to evaluate consolidation proposal for these two micro-cap companies; know more here!

Penny stocks under Rs 10: Price Waterhouse & Co (PwC) to evaluate consolidation proposal for these two micro-cap companies; know more here!

G G Engineering Ltd and Integra Essentia Ltd have appointed Price Waterhouse & Co LLP (an individual member firm of the network of member firms of PricewaterhouseCoopers International Limited (PwC IL)), a Big 4 Advisory Firm, to evaluate the consolidation proposal of the companies from a tax and regulatory perspective.

Earlier, on September 20, 2023, the Boards of Directors of these micro-cap publicly traded companies, G G Engineering Ltd and Integra Essentia Ltd, met to discuss a possible merger. Both companies are listed on the BSE Limited and operate in complementary businesses.

The boards have granted in-principle approval for the merger, which they believe would create a larger and stronger entity. The merger would also allow the companies to pool their resources and expertise, and offer a wider range of products and services to their customers.

The boards have authorized the companies' officers to evaluate the merger in consultation with advisors, who may be appointed in due course. In addition, the boards approved the redemption of debentures that were issued by the company in 2013. The debentures will be redeemed for a lump-sum payment of Rs 1,50,00,000.

On Thursday, shares of Integra Essentia Ltd plunged 2 per cent upper circuit to Rs 6.28 per share from its previous closing of Rs 6.40 while shares of G G Engineering Ltd gained 0.79 per cent to Rs 1.28 per share from its previous closing of Rs 1.27 per share.

Penny stock IEL gave multibagger returns of over 790 per cent in the past 3 years, while penny stock GGEL has lost 72 per cent in the same period. Investors should keep an eye on these Penny Stocks.

Disclaimer: The article is for informational purposes only and not investment advice.