AB Nuvo-Grasim merger: Voting to begin from March 6, sources say

Aditya Birla Nuvo and Grasim merger will face an acid test from the minority shareholders next month. Sources privy to the details say that Grasim shareholders will vote on the deal from March 6 to April 5 while the shareholders of AB Nuvo will vote from March 10 to April 9. Post the voting, Grasim will be holding its extraordinary general meeting on April 6 and AB Nuvo will have its meeting on April 10. For the deal to happen, AB Nuvo will need approval of majority of its minority shareholders. Both the companies denied to comment on the merger process. AB Nuvo and Grasim merger will create one of India’s largest diversified companies with a mix of business and steady cash flows. The merger plans include listing of financial services company - Aditya Birla Financial Services Ltd.The voting might help mitigate concerns of Grasim shareholders over Nuvo’s exposure to Idea, which is likely to announce its merger with Vodafone in the first week of March. Read more: Idea-Voda to ring in deal in Mar alongside Grasim-Nuvo vote callAditya Birla Nuvo is the promoter shareholder of Idea with 23.25 percent stake, while Grasim is one of the co-promoters with 4.75 percent stake. At current market prices, Grasim’s stake in Idea amounts to roughly Rs 2,000 crore.