Thomas Cook, LKP Forex amalgamation gets HC approval

RELATED NEWS Thomas Cook India nominates members on TCI Board Thomas Cook India to acquire Travel Corporation Thomas Cook to acquire TCI Thomas Cook advance 5.15% ALSO READ See latest News about Thomas Cook See previous management interviews See what other Experts & Brokerages are saying about Thomas Cook Thomas Cook BSE | NSE 10/02/12 Are Mutual Funds betting on Thomas Cook?

Thomas Cook India on Thursday said that the Hon'ble Bombay High Court, in its Order dated January 12,  2007, has approved the amalgamation of  LKP Forex Ltd. with Thomas Cook (India) Ltd (TCIL). It may be recalled that in June 2006, TCIL and the LKP Group entered into a non-binding memorandum of understanding to explore the amalgamation of LKP Forex Limited with TCIL through a scheme of amalgamation to be approved by the shareholders of both the Companies, the regulatory authorities and the Bombay High Court.

 

Mr. Madhavan Menon, Managing Director, TCIL, said "The combined businesses of TCIL and LKP Forex has given us a leadership position in the foreign exchange business and our main focus will be to consolidate the businesses in order to maximize synergy benefits and cost efficiencies. I would also like to take this opportunity to welcome LKP employees to the Thomas Cook India family"

 

Mr.Parag Mehta, formerly of LKP, takes over as the Head of Foreign Exchange business at TCIL and the company aims to complete the entire integration process by February 2007, after which all the existing LKP branches will function as full-fledged branches of TCIL. With that, TCIL will have a national foot print of almost 200 branches in 55 cities and a head count of around 3000 individuals making it the largest travel and tour operator in India.

 

TCIL had recommended  the share swap ratio of 11:20 (11 shares of TCIL were issued against 20 shares of LKP) for equity shares and 38:1 (38 shares of TCIL were issued against 1 share of LKP) for preference shares. The equity shares will have a lock in for 3 years. The company's board had earlier given its in principle approval and had accepted the recommendation of  N M Raiji &  Company as valuers to the share swap ratio.

 

Sourced From: Sampark Public Relations Pvt Ltd