Author: Nishtha Mehrotra | EQMint

Rudra Ecovation Limited shares gained nearly 5% after the National Company Law Tribunal (NCLT), Chandigarh Bench, sanctioned the company’s merger with Shiva Texfabs Limited.

The NCLT pronounced its order on 16 September 2026, approving the Scheme of Merger and Amalgamation under which Rudra Ecovation is the transferor company and Shiva Texfabs is the transferee company. Rudra Ecovation informed the stock exchanges on September 18 that the final order had been uploaded on the NCLT website.

Rudra Ecovation Share Price Rises 5%

Following the development, Rudra Ecovation shares closed at ₹22 on September 18, 2026, recording a 4.96% gain. The stock touched its upper circuit for the session, according to market reports.

The company’s shares have a 52-week high of ₹37.58 and a 52-week low of ₹13.96, based on market data available for September 18.

NCLT Approves Rudra Ecovation-Shiva Texfabs Merger

The NCLT Chandigarh Bench sanctioned the merger scheme covering Rudra Ecovation, Shiva Texfabs, and their respective shareholders and creditors.

Under the approved arrangement, Rudra Ecovation will be dissolved without winding up once the scheme becomes effective. Its assets, liabilities, rights, and obligations will transfer to Shiva Texfabs in accordance with the scheme.

The appointed date for the merger is April 1, 2025.

Share-Swap Ratio

Under the approved scheme, eligible shareholders of Rudra Ecovation will receive 0.213 shares of Shiva Texfabs for every one share of Rudra Ecovation held.

The scheme also provides for the treatment of fractional entitlements through a trust, with the fractional shares to be sold and the proceeds distributed to eligible shareholders according to the applicable terms.

Merger Process and Next Steps

The merger has progressed through several stages of the NCLT process. In April 2026, the Chandigarh Bench admitted the second-motion petition relating to the proposed amalgamation.

In August, the tribunal reserved its order on the scheme.

With the order now sanctioned, the companies must complete the required statutory and regulatory formalities. Rudra Ecovation has indicated that further filings and disclosures will follow after completion of the relevant procedures.

About Rudra Ecovation

Rudra Ecovation, formerly known as Himachal Fibres Limited, operates in the textiles and recycling space, including recycled polyester fibres, yarns and fabrics. The company is listed on the BSE under the symbol RUDRAECO.

The NCLT approval marks a significant regulatory milestone in its proposed consolidation with Shiva Texfabs and moves the transaction towards implementation.

Sources

• Rudra Ecovation Limited regulatory disclosures regarding the NCLT merger order. (The Economic Times)
• NCLT-related merger reporting and scheme details. (scanx.trade)
• Market data for Rudra Ecovation shares. (Moneycontrol)

Disclaimer: This article is for information purposes only and is not investment advice.

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