Gokaldas Exports Approves Amalgamation Of BRFL Textiles
The board of Gokaldas Exports Ltd (GEX) has approved the amalgamation of BRFL Textiles Pvt. Ltd. (BTPL) with the company, in a meeting held on August 9, 2025.
Gokaldas Exports had made a strategic investment in BTPL in June 2024 through optionally convertible debentures, and earlier this week, its board approved raising its stake in BTPL to 19%.
The amalgamation will integrate BTPL’s wide range of fabric manufacturing capabilities into Gokaldas’ operations, creating a vertically integrated business aimed at boosting supply chain efficiency, operational synergies and financial strength.
As of FY25, BTPL reported total assets of Rs 877.13 crore, a net worth of Rs 147.57 crore, and a turnover of Rs 371.42 crore.
The draft scheme proposes two alternatives for BTPL shareholders:
- Option 1: 40 fully paid equity shares of Rs 5 each in GEX for every 3,581 equity shares of Rs 10 each held in BTPL.
- Option 2: 30 fully paid equity shares of Rs 5 each in GEX plus Rs 8,952.50 in cash for every 3,581 shares of Rs 10 each held in BTPL.
With these terms, and factoring in its existing 19% stake, the total acquisition cost of BTPL shares for GEX will amount to Rs 552 crore.
