RHI Magnesita, the leading global supplier of refractory products, systems and solutions, today announces that the Hon’ble National Company Law Tribunal, Mumbai Bench (NCLT) has approved the scheme of amalgamation of RHI Clasil Private Limited (RHI Clasil), RHI India Private Limited (RHI India) and Orient Refractories Limited (ORL). Subsequent to this, the two subsidiary companies of RHI Magnesita in India – RHI Clasil and RHI India – will be merged into the publicly listed entity ORL.
Parmod Sagar, Managing Director & CEO of ORL and Regional President of RHI Magnesita, comments: “The integration of the three separate legal entities will enable us to synergize, simplify and consolidate our strength in India to serve our ever growing customers better. RHI Magnesita is going to provide customers with one single refractory solutions platform, offering the industry’s most comprehensive product and solutions portfolio as an end-to-end solution provider.”
The Board of Directors of ORL will decide on the further course of actions related to the merger, including fixing of the effective date of the amalgamation, in its next meeting. “The integration also results in improved allocation of capital and optimization of cash flows contributing to the overall growth prospects of the newly integrated company, creation of a larger asset base and facilitation of access to better financial resources. At the same time, shareholder value will be enhanced, pursuant to economies of scale and business efficiencies,” added Parmod Sagar.
The scheme of amalgamation was first proposed in 2018 and subsequently, all necessary regulatory and statutory approvals were duly obtained, with NCLT providing the final approval on May 18, 2021.
RHI Magnesita is the leading global supplier of high-grade refractory products, systems and solutions which are critical for high-temperature processes exceeding 1,200°C in a wide range of industries, including steel, cement, non-ferrous metals and glass. With a vertically integrated value chain, from raw materials to refractory products and full performance-based solutions, RHI Magnesita serves customers around the world, with around 12,000 employees in 28 main production sites and more than 70 sales offices. RHI Magnesita intends to build on its leadership in revenue, scale, product portfolio and diversified geographic presence to expand further in high growth markets.
The Group maintains a premium listing on the Official list of the London Stock Exchange (symbol: RHIM) and is a constituent of the FTSE 250 index, with a secondary listing on the Vienna Stock Exchange (Wiener Börse). For more information please visit: www.rhimagnesita.com
Orient Refractories Ltd. (ORL), a unit of RHI Magnesita, is a leading manufacturer and supplier of of high-grade refractory products and solutions. ORL serves customers in India and more than 70 countries. The Company has two state-of-the-art manufacturing facilities at Bhiwadi and Cuttack that makes specialty refractory products and magnesia carbon bricks. Its 1000 plus strong work force supported by the Global technical expertise of RHI Magnesita group serves more than 500 large and mini steel plants in India and abroad. The Company is listed with BSE and NSE. For more information please visit: www.orientrefractories.com