Rain Commodities goes for rejig

Hyderabad-based Rain Commodities Limited (RCL) said its board of directors at a meeting on Tuesday approved the transfer of cement business from RCL (holding company) to Rain CII Carbon (India) Limited, a wholly-owned subsidiary.

Also, the calcined petroleum coke and power business would be transferred from Rain CII Carbon (India) to Rain CII Carbon (Vizag), a wholly owned step-down subsidiary company. These would come into effect from April 1.

The board also approved the merger of Moonglow Company Business Inc in British Islands, a wholly-owned subsidiary of Rain CII Carbon India, with RCL with effect from October 1 this year. RCL decided to undertake the composite scheme of arrangement (CSA) to delineate and create a holding company for cement and calcined petroleum coke verticals which were capable of attracting different set of investor and strategic partners.

The CSA would assist in creation of a global holding company in the US for the calcined petroleum coke business and would be able to raise funds through equity or debt and pursue growth opportunities, he said.