Pondy Oxides & Chemicals Approves Merger with Harsha Exito Engineering

Date: August 4, 2026 – Pondy Oxides & Chemicals Limited (POCL) has announced that its Board of Directors has approved a Scheme of Amalgamation with its wholly-owned subsidiary, Harsha Exito Engineering Private Limited (HEEPL). The decision was taken at the Board meeting held on August 4, 2026, and is subject to approvals from the National Company Law Tribunal (NCLT), shareholders, and creditors.

Key Details of the Amalgamation

• Transferor Company: Harsha Exito Engineering Pvt. Ltd. (HEEPL)

• Transferee Company: Pondy Oxides & Chemicals Ltd. (POCL)

• Nature of Transaction: Related Party Transaction (exempt from Section 188 of the Companies Act, 2013 as per MCA Circular No. 30/2014)

• Consideration: No new shares or cash will be issued, as HEEPL is a wholly-owned subsidiary of POCL.

• Shareholding Pattern: No change in POCL’s shareholding structure post-merger.

Financial Snapshot (as of March 31, 2026)

• HEEPL: Recycling of non-ferrous metals, plastics, and engineering components.

• POCL: Manufacturing of lead metals, alloys, copper, non-ferrous metals, and plastics.

Rationale for the Merger

The amalgamation is expected to:

1. Consolidate business operations by merging assets, liabilities, and activities of HEEPL with POCL.

2. Streamline corporate structure by eliminating the need to maintain a separate subsidiary.

3. Improve efficiency and economies of scale through unified management and reduced duplication of functions.

4. Enhance financial resource utilization with optimized cash flow and debt management.

5. Create long-term value for shareholders and stakeholders by strengthening operational control and strategic execution.

Regulatory Path

The scheme will proceed under Sections 230–232 of the Companies Act, 2013, with approvals required from NCLT and other stakeholders.