The Board of Directors of the India Cements on Wednesday approved the proposal to reorganise Chennai Super Kings Cricket Limited with its shareholders.
In a filing with the Bombay Stock Exchange (BSE), the company “approved a proposal for reorganisation of Chennai Super Kings Cricket Limited, the company’s wholly-owned subsidiary”.
Under which the ownership of the Franchise will be held by shareholders of The India Cements Limited. This will be subject to all necessary approvals”, the company said.
In September 2014, India Cements Board had approved the demerger of CSK (a division) into a wholly owned subsidiary by transferring the assets at net cost. The effective date of transfer will be Jan 1, 2015, subject to all approvals.
India Cements had successfully bid for the Chennai franchise in 2008 for $ 91 million. The amount will be paid over a ten year period.