Kushal Tradelink Limited (BSE:536170) entered into scheme of arrangement to acquire Rainbow Papers Limited (BSE:523523) for approximately INR 170 million on September 14, 2017. Under the terms, Kushal Tradelink Limited will issue one share of Kushal Tradelink Limited for every 76 shares of Rainbow Papers Limited. Apart from this, Kushal Tradelink Limited will do arrangement with secured creditors of Rainbow Papers Limited at INR 5.35 billion out of which INR 2 billion will be settle by issuing equity shares of Kushal Tradelink Limited, INR 0.6 billion will be settle by issuing share warrants of Kushal Tradelink Limited, INR 1.8 billion will be settle by issuing share warrants of Kushal Tradelink Limited as deferred and INR 2.75 billion will be settle through cash. Kushal Tradelink Limited will also do arrangement with unsecured creditors of Rainbow Papers Limited where 50% of total outstanding will be paid in series of defined % in scheduled years and remaining 50% will be paid by issuing share warrants. The transaction is subject to the approval of the Stock Exchanges, Securities and Exchange Board of India, Hon'ble National Company Law Tribunal, shareholders, creditors, and other regulatory authorities. The scheme of arrangement is approved by the board of directors of Kushal Tradelink Limited and Rainbow Papers Limited in the meeting held on September 14, 2017. The transaction has been approved by the Committee of Creditors of Rainbow on June 11, 2018. Corporate Capital Ventures Private Limited provided fairness opinion to Kushal Tradelink Limited in this transaction.

Kushal Tradelink Limited (BSE:536170) completed the acquisition of Rainbow Papers Limited (BSE:523523) on February 27, 2019. The National Company Law Tribunal, Ahmedabad, India bench has pronounced the approval of resolution plan on February 27, 2019.