In line with market expectations, the Board of Mukesh Ambani controlled Reliance Industries Limited (RIL) cleared the merger of IPCL with itself at a share swap ratio of 1:5.
The appointed date of merger with RIL was April one, 2006 (rpt) 2006, the company stated.
The Reliance Industries Board also approved an interim dividend of Rs 11 per share totaling Rs 1,748 crore including dividend tax.
Likewise, the IPCL Board approved an interim dividend of Rs six per share amounting to Rs 206 crore including dividend tax.
Following the merger, the share capital of RIL would increase from Rs 1,393.5 crore to Rs 1,453.6 crore.
RIL is the country’s largest private sector company with a leadership position in the petrochemicals industry, while IPCL is India’s second largest company in that sector.
