The Government Iron Company owned by the Corporation (NMDC) on Tuesday said that the company’s board of directors at the meeting held at this time had approved the Demerger between NMDC Limited and NMDC Steel Limited.
The scheme is subject to the approval of the necessary laws and regulations including the approval of the Securities of Market Regulators and the Indian Stock Exchange, the Stock Exchange, the Ministry of Corporate Affairs, the Government of India and Shareholders and Creditors, NMDC said in the exchange of exchanges.
NMDC shares surged after the Demerger announcement because the stock rose more than 5% on ₹ 174 per share on BSE on Tuesday.
“The underestimated workmanship will be given with NMDC Steel Limited according to Demerger. All stock capital from NMDC Steel Limited held by NMDC Limited will cancel the new LED and shares of equity from NMDC Steel Limited (in the way described in the scheme) will be issued for all NMDC shareholders limited in the same proportion in the same proportion, ” It said.
NMDC Limited is a government company and is involved in exploration of various minerals including iron ore, copper, stone phosphate, limestone, dolomite, gypsum, bentonite, magnesite, diamond, tin, and beach sand.
Meanwhile, NMDC Steel is a subsidiary that is fully owned by NMDC Limited. NMDC SteeJ currently does not have business operations. This is approved by a warning note to continue the business, among other things, manufacturing, prospecting, improvement, operation, buying, selling, importing, ex.pporting or dealing with steel categories and extraordinary iron ore
