Blue Star has received an approval to transfer the Professional Electronics & Industrial Systems (PE&IS) undertaking of the company to Blue Star Electro-Mechanical (BSEML), a wholly owned subsidiary of the company, on a going concern basis at fair value estimated at about Rs 110.50 crore, determined by an independent valuer. The board of directors at their meeting held on January 21, 2015, based on the approval of the Audit Committee has approved for the same. BSEML will discharge the consideration for the said transfer by issue and allotment of fully paid up equity shares to the company.
The board also approved financial assistance to BSEML by means of loans and corporate guarantees to secure BSEML’s borrowing not exceeding Rs 25 crore.
Blue Star is India’s leading central air-conditioning and commercial refrigeration company fulfilling the cooling requirements and providing end-to-end solutions as a manufacturer, contractor and after-sales service provider to corporate, commercial, institutional and residential customers.
