GOCL Corp jumps 9% as board approves merger of Hinduja National Power

GOCL Corporation shares jumped 9 per cent on the BSE, logging an intra-day high at ₹330 per share. The buying on the counter came after the company’s board approved a scheme of merger by absorption of Hinduja National Power Corporation Limited (HNPCL) into GOCL.

 

At 9:34 AM, GOCL’s share price was trading 1.1 per cent higher at ₹313.5 per share on BSE. In comparison, the BSE Sensex was down 0.44 per cent at 84,842.3.

 

The company has a total market capitalisation of ₹1,554.11 crore. Its 52-week high was at ₹417, and its 52-week low was at ₹245.25.  

 

“We have to inform you that the Audit Committee and the Board of Directors of GOCL Corporation Limited (‘GOCL’ or ‘the Company’) at their meetings held today reviewed, interalia, the valuation report / share exchange ratio and approved a scheme of merger by absorption of HNPCL into GOCL,” the filing read. 

 

HNPCL, which is engaged in power generation, transmission and supply, will be merged into GOCL after necessary shareholder and regulatory approvals. The merger is a related-party transaction but has been carried out on an arm ’s-length basis.

 

According to the filing, the merger aims to consolidate and integrate operations, improve efficiency, optimise the use of assets and cash, simplify the corporate structure, and enhance long-term growth and shareholder value. 

 

GOCL expects benefits from scale, better capital raising ability, pooled talent, and sharper focus on the thermal power business.

 

Shareholders of HNPCL will receive 206 fully paid-up GOCL shares (₹2 face value) for every 10,000 HNPCL shares (₹10 face value) held.  CATCH STOCK MARKET LIVE UPDATES TODAY

 

Post-merger shareholding:

• GOCL’s promoter holding will rise from 67.82 per cent to 74.87 per cent.
• Public shareholding will fall from 32.18 per cent to 25.13 per cent.
• HNPCL will cease to exist as a separate entity, with all its shares cancelled post-merger.

GOCL Corporation Limited (formerly Gulf Oil Corporation) is a diversified Hinduja Group company with a legacy of over six decades in India’s mining and infrastructure space. The company is a leading player in energetics and commercial explosives, supplying a wide range of blasting solutions and detonating systems to mining, construction and infrastructure projects across the country.