Valuation of shares

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PRATEEK JAIN (Querist)
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26 November 2012 Dear sir,
i have a very complicated query but very easy question...pls remove my confusion and tell the best answer...i ll be very thankful to you...
the query is- B is 100% holding Co. of A & D is 100% holding Co. of B
C is a separate co. which is subsidiary of D. The scheme is A & B merging into C. so my question is that
"for calculating the swap ratio & valuation of shares whether consolidated B/S of A & B shall be considered or not?
Pls suggest dear sir
Thanks & best regards
Prateek jain

CA Hardik Bunha

CA Hardik Bunha (Expert)
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26 November 2012 here consolidated balance sheet of d will be considered for swap ratio and valuation of shares for merging.

in your question it is clear that AS 21 is applicable to all.

for swap ration and valuation of shares market price or eps or other consideration is considered but in your case it is already relation of subsideary and holding is done so only d's b/s will be considered.

PRATEEK JAIN

PRATEEK JAIN (Querist)
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30 November 2012 Thank you dear hardik sir for youe reply.
actualy u din't get my point.i tell you my query in detail-
There are three companies A, B & C.
The scheme is A & B are merging into C.

A= 100% subsidiary Of B it means B is 100% holding co. of A

B= 100% subsidiary of D

C= a separate co. 100% subsidiary of D

now the q.is = For swap ratio and valuation of shares whether consolidated b/S of A & B shall be considered or individual data of A & B should be considered.
as i think there is no roll of company D in valuation.

now pls suggest what to do???
Thanks

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PRATEEK JAIN

PRATEEK JAIN (Querist)
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01 December 2012 Daer hardik sir,
Please rly as it is really very urgent for me.
Thanks & best regards
Prateek jain