Inox, Satyam Cineplexes extend deadline for merger completion

Boards of Inox Leisure and Satyam Cineplexes have extended the deadline for completion of their merger till the end of December 2016 due to pending court approval.
"The Board of Directors of Inox Leisure Limited and Satyam Cineplexes Limited have passed a Resolution for amending the Clause 18 of the Scheme of Amalgamation in order to extend the date of validity of the Scheme from December 31, 2015 to December 31, 2016," Inox said in a regulatory filing.
The development comes after the Delhi High Court reserved its order on the matter after a hearing.
Inox said earlier, the Clause 18 of the Scheme of Amalgamation provided that in the event of scheme not being sanctioned by the High Court, and/or the order or orders not being passed on or before December 31, 2015 or within such further period or periods as may be agreed upon between Satyam and Inox through their respective Board of Directors, the scheme shall become null and void.

Further, each party shall bear and pay its respective costs, charges and expenses for and/or in connection with the scheme, it added.
"There are no other material changes in the scheme," Inox said.
In July this year, Inox Leisure had announced that it would acquire Gurgaon-based rival Satyam Cineplexes in a Rs 182-crore deal.
The Mumbai-based exhibitor had said it would acquire 100 per cent equity share capital of Satyam from its promoters.