Mail News Service
Mumbai/Jamshedpur, Sep 23: The Board of Directors of TRF Limited at its meeting held on September 22 considered and unanimously approved the scheme for its proposed amalgamation with Tata Steel Limited. The Board has considered the amalgamation proposal based on independent fairness and valuation opinions, and followed the process laid down under the Companies Act, 2013 and Securities and Exchange Board of India Regulations. Based on the reports of the independent valuers, the Board has approved the following swap ratio for the proposed amalgamation: for every 10 shares of TRF Limited, 17 shares of Tata Steel Limited.
TRF’s business relationship with Tata Steel has been a core part of ensuring the viability of the business. Earlier this year, it has restructured its business completely on the basis of the significant order pipeline and demands from Tata Steel’s ongoing large growth projects, thereby ensuring a high level of utilization of assets and human resources. Given the historically fragile nature of financials of the business, the dependence on Tata Steel, and the further need to improve resource productivity, engineering and project execution capabilities, the proposed amalgamation is critical for a sustainable future for the company. It will allow the business to grow through improved availability of capital and also facilitate greater efficiencies in cash-flow management. TRF will also benefit from transfer of best practices and technologies from Tata Steel and improve the offering of products & services to its customers.
Alok Krishna, Managing Director, has expressed his desire to step down from his current role and take up another assignment. He will cease to be the Managing Director and Key Managerial Personnel of the Company at the close of business hours on September 30, 2022.
Consequently, the Board of Directors, upon recommendation of the Nomination and Remuneration Committee, has approved the appointment of Umesh Kumar Singh as an Additional Director of the Company, on and from October 1, 2022. Singh is currently the Managing Director of Tata Pigments Limited and will assume the position of Managing Director and be a Key Managerial Personnel of the Company from October 1, 2022.