1:20 for Rajashree, Century Enka merger

Century Enka is in the process of preparing a plan to mitigate any hardship which may be caused due to non-marketable lots arising on amalgamation. The scheme will be announced shortly, a company release added.

The process of sub-division of Century Enka’s equity shares of a face value of Rs 100 each into 10 equity shares of a face value of Rs 10 each has started, it said.

There has not been any dramatic movement in the share prices of Century Enka and Rajashree Polyfil in recent days. The volumes of trade also indicate poor interest. From 1,450 shares on August 11 to 90 shares on August 21, the Century Enka price moved down from Rs 1,158.75 in the period. Pricewise, the movement suggests that Rajashree Polyfil shareholders have got a better deal.

The stock moved upward from Rs 7.80 to Rs 8 during the same period. However, it has registered a 19 per cent increase in price since early July when it was hovering around the Rs 6.70 levels. Volumes have come down drastically from 54,900 shares to 15,200 shares now. The merger proposal, it may be recalled, had been announced nearly four months ago.