Fame India and its parent Inox Leisure gained on the bourses on Friday ahead of their board meetings to consider the merger of the two companies.
At 1.43 pm, Fame India shares were trading 4.98 per cent higher to touch an upper circuit limit of Rs 47.40 on the Bombay Stock Exchange (BSE).
At the same time, Inox Leisure were up 2.91 per cent at Rs 51.35.
Inox is the parent entity of Fame, which in turn has some subsidiaries in the entertainment business.
"The board of directors of the company will meet on June 15, 2012, to consider amalgamation of Fame India, a subsidiary of the company and its existing wholly owned subsidiaries namely, Fame Motion Pictures Limited, Big Picture Hospitality Services Private Limited and Headstrong Films Private Limited with the company," Inox Leisure had said in a filing to the BSE last week.
A similar filing was made by Fame India.
Meanwhile, in the broader market the BSE Sensex was trading 151.07 points up at 16,828.89 at 1.43 pm.
With PTI inputs