Dalmia Bharat Sugar and Industries Limited (Demerged Company) has announced the successful implementation of its Scheme of Arrangement with Dalmia Bharat Refractories Limited (Resulting Company). This scheme was approved by the Hon’ble National Company Law Tribunal (NCLT), Chennai Bench, and became effective on October 9, 2025.
For the purpose of this corporate action, October 31, 2025 has been fixed as the Record Date.
As per the Scheme, 1 fully paid-up equity share of ₹10 each of Dalmia Bharat Refractories Limited will be issued and allotted for every 48.18 fully paid-up equity shares of ₹2 each held by equity shareholders of Dalmia Bharat Sugar and Industries Limited.
In simple terms, if you held 4,818 shares of Dalmia Bharat Sugar as on the record date, you will receive 100 shares of Dalmia Bharat Refractories. Any fractional entitlement arising from this ratio will be settled in cash and credited to your registered bank account.
The newly issued shares of Dalmia Bharat Refractories will be credited to eligible shareholders’ demat accounts once the allotment process is completed. The shares will be visible under the unlisted section until the company applies for and obtains listing approval from the stock exchanges. Trading will commence thereafter.
Your average buy price for Dalmia Bharat Sugar will be revised once the companies announce the Cost of Acquisition (COA) for both entities, as guided by the tax authorities.
This demerger allows both companies to operate independently —
- Dalmia Bharat Sugar will continue focusing on its sugar, distillery, and renewable energy operations.
- Dalmia Bharat Refractories will independently manage its refractory and allied business.
What’s your view on this restructuring move by the Dalmia Bharat Group? Let’s discuss.