Shyam Metalics And Energy gets NCLT nod for Shree Venkateshwara Electrocast merger

The scheme in numbers

What the order approves

The NCLT Kolkata Bench approved the Scheme of Amalgamation under Sections 230 to 232 of the Companies Act, 2013 on 16 Oct 2026. Under the order, the Transferor Company is dissolved without winding up from the Effective Date, and its property, liabilities and pending proceedings pass to Shyam Sel and Power Limited from the Appointed Date of 1 Apr 2024.

The filing says the shares held by the Transferee and its nominees in the Transferor will be cancelled and that no consideration is payable. It also says no shares are being issued under the scheme.

Appointed date changed to 2024

The NCLT order of 27 Mar 2026 moved the Appointed Date from 1 Apr 2025 to 1 Apr 2024. The company's rejoinder says the change reflects the integration of the aluminium foil product portfolio under one operating umbrella, and says the Transferor was acquired in or around August 2021.

The Regional Director, Ministry of Corporate Affairs, Kolkata, raised concerns about the Transferor's going concern uncertainty and asked for tax views. The company's rejoinder replied that the Income Tax Department issued a No Objection to the modified scheme dated 15 May 2026.

What the scheme means for Shyam Metalics And Energy's shareholders

For the listed parent, the scheme changes the structure of its wholly owned subsidiaries. The filing says no shares are issued and no consideration is payable, so the scheme does not directly change the parent's share count. The filing does not state the financial impact on the Transferee's results or per-share figures, the outcome of the pending Registrar of Companies inquiry against the Transferee, or the effective date, which depends on the filing of the certified order.

The next step in the filing is the filing of the certified NCLT order with the Registrar of Companies, West Bengal, after which the scheme becomes effective.

Reference: Original filing (PDF)