Shares of Zee Learn and Tree House Education & Accessories have rallied up to 17% on the BSE in intra-day trade, after their respective boards approved a revised share swap ratio for the merger.
Tree House Education & Accessories has surged 18% to Rs 37.03, while Zee Learn rallied 17% to Rs 35.25 on the BSE in intra-day trade.
As per the new merger scheme, shareholders of Tree House will get shares in Zee Learn in ratio of 1:1.
“The board of Zee Learn approved revised share swap ratio of 10 equity shares of Zee Learn of Re 1 each fully paid up for every 10 equity shares of Tree House Education of Rs 10 each fully paid,” Zee Learn said in a release.
The revised scheme of amalgamation will put to rest uncertainty and anxiety within different stakeholders. It will help mitigating the recent developments in operational performance of Tree House Education over the past few quarters and further strengthen Zee Learn position in the educational landscape, it added.
Both Zee Learn and Tree House Education are primarily engaged into business of pre-schools activities. At 09:45 am, Tree House Education was up 15% at Rs 36.45 and Zee Learn by 13% at Rs 34.25 on the BSE, on back of heavy volumes.