INOXGFL Group, one of the leading business groups in India in the energy transition space, announced that Hon'ble National Company Law Tribunal (NCLT), Chandigarh Bench has approved the scheme of arrangement between Inox Wind Energy Ltd. (IWEL) & Inox Wind Ltd. (IWL), consequent to which IWEL will be amalgamated into IWL.

The merger will result in a stronger and more financially robust merged balance sheet, resulting in substantial reduction in IWL's liabilities, by ~ Rs 2,050 crore.

Moreover, the combined operations of both companies achieves cost savings through economies of scale, improved resource utilization, elimination of redundant functions and operations, and streamlining of regulatory compliances. The merger also simplifies and streamlines the wind business vertical of the INOXGFL Group, with no holding company structure.The overall consolidation of businesses, financial, operational and other synergies may result in enhancing value for various stakeholders of the companies. 

As a result of this merger, 632 equity shares of face value of Rs. 10 each of IWL will be allotted for every 10 equity shares of face value of Rs. 10 each of IWEL as on the Record Date (to be determined shortly). The shares are expected to be credited to shareholders of IWEL within a period of 1-1.5 months, subject to regulatory processes and clearances.

Devansh Jain, Executive Director, INOXGFL Group, said, "We thank the Hon'ble NCLT for approving the scheme of merger of IWEL into IWL. The merger is a significant achievement in the exciting journey of the INOXGFL Group, and brings closure to the last two years of efforts which our team had invested in this process. It is also a milestone for our consolidated wind business, in which over the same period we have been able to deliver a remarkable operational and financial turnaround, and establish a strong base for exponential growth over the coming years. We believe that this merger is beneficial for all stakeholders, including the minority shareholders of IWEL, as well as for IWL, since it results in a leaner and more robust balance sheet for the company.

As a Group which is at the forefront of energy transition in India, we continue to achieve new highs every year. In line with the ambitious green targets of the Government of India, led by our Hon'ble PM Shri Narendra Modi ji himself, we continue to expand our operations and footprints across multiple segments in the clean energy space, and are strongly placed to capitalise on the large-scale impending opportunities over the next decade."