GE Shipping Misses Demerger Deadline

The deadline for the demerger of Great Eastern Shipping Company (GE Shipping), has expired. Business Standard reports that it is not known whether the company would go for an extension of the deadline or call off the proposed demerger. The deadline stipulated under the demerger scheme approved by the Bombay High Court was at the close of business hours of August 2. GE Shipping executives were not available for comment on the issue. GE Shipping had last year approved a scheme of arrangement for demerger of the offshore service business into a separate company, Great Offshore Ltd. The demerger scheme, heard by the Bombay High Court on January 27 this year, was approved on February 3. Pending receipt of certain approvals, GE Shipping has not announced the effective date of demerger under the scheme. The demerger scheme was delayed primarily because of pending approvals from contractors, mainly Oil & Natural Gas Corporation ONG. (Source: Business Standard)