Refex Industries shares rise 19% in early deals, here's why

Shares of Refex Industries zoomed 19% in early deals on Tuesday after its board approved a composite scheme of amalgamation and arrangement to restructure and unlock the potential of its Green Mobility Business for all the shareholders of the firm.

Refex Industries shares climbed 19% to Rs 402.25 in the current session against the previous close of Rs  338.05 on BSE. Market cap of the firm rose to Rs 5,109 crore.

Subsequently, Refex Green Mobility Limited, a wholly owned subsidiary, will be merged into Refex Industries, followed by the demerger of the Green Mobility Business unit into a newly incorporated entity i.e., Refex Mobility Limited.

RML is proposed to be independently listed on BSE and NSE, creating two focused platforms where RIL will consolidate its core strengths across Ash & Coal handling and RML will be dedicated to sustainable mobility solutions using clean fuelled vehicles.

Commenting on the development, Anil Jain, Chairman and Managing Director of Refex Industries said,“The Board’s approval of this restructuring marks a milestone in Refex’s growth journey. By creating a dedicated listed platform for our Green Mobility Business, we will sharpen focus, unlock value for shareholders across both RIL & RML, and reaffirm our commitment to clean, technology-driven urban corporate transport.” The implementation of the scheme will be subject to necessary approvals from shareholders, creditors, stock exchanges, SEBI, NCLT and other applicable regulatory authorities."

The firm is a pioneer in sustainability driven solutions in India. With over 22 years of expertise, Refex has built a diverse portfolio encompassing Ash & Coal Handling, Green Mobility initiatives, and Wind energy solutions. With a purpose-led approach, RIL continues to lead in advancing solutions that tackle environmental challenges and pave the way for a greener, more sustainable future for India.