This refers to Amalgamation of Harita Seating Systems Ltd. with Minda Industries. Limited.
I have received a communication from Minda Industries as follows and they have give 2 options to choose from :
" Pursuant to the Scheme, the Eligible Members shall be entitled to either receive
(i) Equity Shares of Minda Industries Limited (“Transferee Company Equity Shares”); or - For evey 100 shares of Harita seatings, we will get 152 shares of Minda Industries
(ii) Non-Convertible Redeemable Preference Shares of Minda Industries Limited (“Transferee Company RPS ”) as per Share Entitlement Ratio mentioned in Clause 18.1 of the Scheme. - For evey 100 shares of Harita seatings, we will get 400 Non-Convertible Redeemable Preference Shares of Minda Industries Limited
Your shareholding, as of record date (15th April, 2021), in Harita Seating Systems Limited (Transferor Company) and your entitlement in Minda Industries Limited (Transferee Company) as per the Scheme is given hereunder :-
The Transferee Company RPS are redeemable on the expiry of 36 (thirty six) months from the date of allotment thereof with an option with the Transferee Company to redeem them any time after the expiry of 18 (eighteen) months. In the alternative, the Eligible Member also has an option to approach the Transferee Company not later than 3 (three) months from the date of its allotment for an early redemption of the Transferee Company RPS.
If some could help to understand, I would like to know the difference between both the options and which option would be better to opt for.
Thanks