The Board of Directors of the Company has taken the follwing decision Scheme of Amalgamation of Aarti Healthcare Ltd,(AHL) and Avinash Drugs Ltd,(Avinash), the subsidiaries of the Company with the Company, subject to such approvals, Court orders and formalities as may be necessary in this regard has been approved. The "Appointed Date" for the said amalgamation has been fixed as December 01, 2004. The Share exchange ratios for the said amalgamation, subject to all necessary approvals and orders, are fixed as under: (i) In case of AHL - l (One) Equity Share of Rs 10/- each to be credited as fully paid-up at par of the Company for every 2 (Two) Equity Shares of Rs 10/- each fully paid-up held in AHL, and; (ii) In case of Avinash - l (One) Equity Share of Rs 10/- each to be credited as fully paid-up at par of the Company for every 15 (Fifteen) Equity Shares of Rs 100/- each fully paid-up held in Avinash. No Equity Shares would be issued for the Equity Shares held by the Company in AHL and Avinash as the same would be cancelled. Accordingly, an aggregate of 14,74,000 Equity Shares of Rs 10/- each would be allotted by the Company in terms of the said Scheme of Amalgamation. & The Board has further decided that in terms of the Scheme of Amalgamation of Aarti Healthcare Ltd., (AHL) and Avinash Drugs Ltd., (Avinash) with the Company, members of AHL and Avinash (Transferor Companies) would also be entitled to the said Bonus Equity Shares in the same ratio as applicable to the members of the Company (i.e. 2 (Two) fully-paid new Bonus Equity Shares of Rs 10/- each for every 1 (One) Equity Share of Rs 10/- each of the Company to be issued in the Company to the members of the Transferor Companies so that Share Exchange Ratios are not affected. Accordingly, 29,48,000 Bonus Equity Shares of Rs 10/- each shall be reserved for allotment to the shareholders of the said Transferor Companies. Subject to the said Scheme becoming effective, separate "Record Date" will be fixed by the Board of Directors of the Company for allotment of these Bonus Equity Shares together with Equity Shares to be issued in terms of the Scheme of Amalgamation. The Company has informed that it has decided to seek sine die adjournment of all the meetings of the shareholders, secured creditors and unsecured creditors convened to be held on April 21, 2005 as per the directions of the High Courts of Bombay & Ahmedabad for consideration and approval of the scheme of Amalgamation of Aarti Healthcare Ltd and Avinash Drugs Ltd with the Company. (As per BSE Bulletin dated on 18/04/2005) Aarti Industries Ltd. has informed the Exchange that the BODs of the Company at their meeting held on October 05, 2005, have decided not to proceed further with the Scheme of Amalgamation of Aarti Healthcare Ltd. and Avinash Drugs Ltd. with the Company and withdraw the same. Accordingly, the said scheme of amalgamation stands withdrawn. (As per NSE Bulletin dated on 06/10/2005)