(5 March 2007 7:00 pm)

MUMBAI: Hinduja TMT's scheme of demerger (Scheme of Arrangement and Reconstruction) has got sanction from the Bombay High Court. The demerged IT/BPO business under a new company is expected to list in two months.

"We expect the entire process to take two months. The fixing of the record date should take a month and then we have to get the approval from Securities and Exchange Board of India (Sebi) for listing," says an executive of the company.

HTMT is unifying its media subsidiaries under one umbrella while spinning off its IT/ITES business into a separate entity. HTMT Technologies Ltd will hold the IT/BPO business. The company proposes to change this name to HTMT Global Solutions.

The residual HTMT with media and real estate has a net worth of Rs 5.77 billion and a cash balance of Rs 2.06 billion (as of 1 October 2006). The IT/BPO company has a net worth of Rs 4.97 billion and a cash balance of Rs 200 million.

HTMT also informed BSE that the court sanctioned the "reduction of the issued, subscribed and paid up equity share capital of the company, effected by reducing the face value of the equity shares to 1 equity share of Rs 5 each (from 1 equity shares of Rs 10) and simultaneously, consolidating 2 such equity shares of Rs 5 each into 1 equity share of Rs 10 each."