IN RE Vs. ZESTER VANIJYA LIMITED

JUDGEMENT

(1.) The object of this application is to ultimately obtain sanction of this Tribunal to the proposed Scheme of Amalgamation whereby Zester Vanijya Limited and Enliven Trade Private Limited would be amalgamated with Preshti Dealers Private Limited whereby the entire business, all the properties, rights and claims whatsoever of Zester Vanijya Limited and Enliven Trade Private Limited and their entire undertakings together with all rights and obligations relating thereto is proposed to be transferred to and vested in Preshti Dealers Private Limited on the terms and conditions fully stated in the said Scheme of Amalgamation, a copy whereof is annexed with the application and marked UG".

(2.) It is stated in the petition that M/s. Zester Vanijya Limited is wholly owned subsidiaries of M/s. Preshti Dealers Private Limited and entire shareholding of M/s. Enliven Trade Private Limited is being held by M/s. Zester Vanijya Limited and M/s. Preshti Deaers Private Limited. In effect, the Zester Vanijya Limited and Enliven Trade Private Limited become the wholly owned subsidiaries of Preshti Dealers Private Limited.

(3.) All the companies belong to the common group. They have common directors. Zester Vanijya Limited and Enliven Trade Private Limited need to economies on overhead expenses and multiplicity of paper work. It has been thought desirable and advisable that the Zester Vanijya Limited and Enliven Trade Private Limited and Preshti Dealers Private Limited amalgamate affording them an opportunity to reorganize their resources and economies on their expenses to be better able to withstand the competitive market position.