High Court Nods Demerger Of Two Aptech Divisions

The Bombay High Court has approved the composite restructuring scheme of Aptech Ltd to demerge its training and education business.

According to a company release, Aptech has demerged the training division from Aptech Ltd into Aptech Training Ltd (ATL) by transferring the assets and liabilities of the training arm to the latter.

Simultaneously, the unlisted software arm of Hexaware Technologies, which has a focus on the US and European markets, will be merged with Aptech Ltd. The merged entity will be called Hexaware Technologies.

"This move will help us leverage on Hexaware's established brand name in the global software market. On the other hand, the training business would continue to use the 'Aptech' brand," said Atul Nishar, chairman, Aptech.

 

Under the demerger scheme, the existing shareholders of Aptech will get four shares of the software entity and six new shares of ATL for every 10 shares held. Aptech's global depository shares (GDS) will also be split in the same ratio.

The new equity shares issued by ATL will be credited as fully paid-up in the company. The paid-up equity capital of ATL will be Rs 18,14,94,370. The GDS listed by Aptech (2GDS=1 equity share) on the London Stock Exchange, too, will be divided in the same ratio.

The share capital of Aptech, remaining after its reduction consequent to the demerger of its training business, would be increased from Rs 12,09,82,920 to Rs 22,09,82,920 by issuing new equity shares to the shareholders of Hexaware.

The shares will be issued in the proportion of 1 equity share of Rs 10 for every 3 equity shares of Rs 5 each held by them.

ATL will make applications to the stock exchanges for enlistment of its shares where Aptech's present shares are listed. ATL would make an application to the London Stock Exchange for the listing of the GDSs issued by it.

Aptech will submit applications to the stock exchanges for enlistment of shares to be issued to the shareholders of Hexaware.