NATVAR PARIKH INDUSTRIES LTD Vs. STATE

JUDGEMENT

(1.) Company Petition No. 204 of 2006 is filed by the petitioner Natvar Parikh Industries Limited [hereinafter referred to as 'Transferor Company'] for sanction of Scheme of Arrangement in the form of Demerger of Transportation and Heavy Lift Division of the Transferor Company with Lift and Shift India Pvt.Ltd., [hereinafter referred to as 'Transferee Company] under Section 391 read with Section 394 of the Companies Act, 1956.

(2.) It is submitted by the Transferor Company that the said company is engaged in the business of shipping, warehousing, marine, transportation and heavy lift through its 5 (Five) separate divisions since its incorporation. It is submitted that proposed Demerger will lead to optimum benefit by increasing efficiency and synergies of the business operation so as to reap the benefits of economise of scale and manpower and thereby providing greater business focus, there be a Demerger by Transferor Company of its Transport Division and Heavy Lift Division through which it carries on the business of the Transportation and Heavy Lift Division and the business of Heavy Lift into the Transferee Company.

(3.) It is the contention on behalf of the Transferee Company that the said Company is engaged in the business of transportation of heavy lift since its incorporation. It is stated that the proposed demerger will lead to optimum benefit by increasing efficiency and synergies of the business operation so as to reap the benefits of economise of scale and manpower and thereby providing greater business focus, and there be a demerger by Transferor Company of its transport division and heavy lift division through which it carries on the business of the transportation and heavy lift division and the business of heavy lift into the Transferee Company.