GSPC Gas Company Limited + Gujarat Gas Company Limited
is now “Gujarat Gas Limited”
Highlights:
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Gandhinagar, May 18, 2015: The Composite Scheme of Arrangement in nature of amalgamation between Gujarat Gas Company Ltd and GSPC Gas Company Ltd, Gujarat’s best performing companies in gas distribution sector in India, has been approved and a new amalgamated entity, Gujarat Gas Limited has now emerged. The arrangement in nature of amalgamation of GSPC Gas Company Limited, Gujarat Gas Company Limited, Gujarat Gas Financial Services Limited and Gujarat Gas Trading Company Limited with GSPC Distribution Networks Limited and Restructuring of share capital of GSPC Distribution Networks Limited has been completed.
The new amalgamated entity, Gujarat Gas Limited, has emerged as India’s largest city gas distribution player with presence spread across 19 Districts in the State of Gujarat and Union Territory of Dadra Nagar Haveli and Thane GA (including Palghar district) of Maharashtra. The new entity has India’s largest customer base in major user segments: 10,23,000 domestic households , 2,750 industrial customers, 14,000 commercial customers, 230 CNG stations selling 7,65,000 kgs of CNG per day. The total daily gas sales volume has reached upto 6.5 MMSCMD which is highest in India. With this amalgamation, the newly formed company’s market capitalisation stands at Rs. 10,600 crore (considering closing price on National Stock Exchange as on May 15, 2015) which shows company’s increased valuation and importance. The size and reach of the amalgamated company gives it a capacity to achieve competence and ability to effectively manage progressive changes in this sector.
Speaking on this event, Shri Saurabhbhai Patel, Minister for Finance, Energy and Petrochemicals, Govt. of Gujarat said “Gujarat has been the leader in moving to a gas-based economy and with this amalgamation we will now help to develop city gas distribution infrastructure in other states.” The minister added “Under the aegis of Govt. of Gujarat, this new amalgamated company Gujarat Gas Limited will continue to expand its reach within and outside of Gujarat to convert more and more industrial, vehicular and residential users to the environment friendly gas from other polluting fuels.”
Honourable Prime Minister, Shri Narendrabhai Modi, envisioned to build a large gas grid network across the state and through this build a gas based economy by providing environment friendly, cleaner and greener natural gas to every city, village & household. The dream is realizing now under the strong leadership of Hon’ble Chief Minister Smt. Anandiben Patel.
Gujarat has been a pioneer in the City Gas Distribution sector in India and has achieved significant success in implementing CGD projects in urban and rural areas of the state, thus benefitting the people of Gujarat. The new amalgamated entity, Gujarat Gas Limited is going to play a leading role in making India move towards becoming a gas-based economy so as to significantly contribute towards a ‘Greener India’.
Gujarat Gas Limited is committed to reach out to every possible natural gas user in its expanded geographical area. The size and scale of the combined entity gives it the ability to achieve efficiencies and effectively manage the transformational changes in the sector. This major gain in productivity would benefit all the key stakeholders, i.e. Customers and Shareholders.
Hon’ble Minister further added that under the leadership of Hon’ble Prime Minister Shri Narendrabhai Modi, the present Central Government has given top priority to the City Gas Distribution (CGD) sector and to help its speedy development across India, 100% allocation of cheaper domestic natural gas has been made to the CGD sector for CNG and domestic PNG requirement. Accordingly this amalgamation will give further thrust to the growth of the CGD segment in the country.
Gujarat Gas Limited is going to play a leading role in making India move towards becoming a gas-based economy so as to significantly contribute towards a ‘Greener India’. In coming days, Gujarat Gas Limited will add more than 2 Lacs domestic household connections and install more than 25 new CNG stations in Gujarat.