CRISIL’S Board has approved the ‘scheme of amalgamation’ for the merger of its wholly-owned subsidiaries, CRISIL Risk and Infrastructure Solutions Ltd and Pragmatix Services Private Ltd with the company.

The agency said this move will result in benefits such as consolidation and synergies of operations, unified approach to customers, reduction in multiple entities, administrative convenience, rationalisation of administrative and compliance costs.

Since the scheme involves a merger of wholly owned subsidiaries with the parent holding company, no shares would be issued pursuant to the merger, CRISIL said in an exchange filing. CRISIL Risk had a total income of ₹95.27 crore for the year ended December 31, 2020. This company is engaged in the business of providing risk solutions and advisory services.

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Pragmatix had a total income of ₹42.32 crore for the year ended December 31, 2020. This company is engaged in the business of providing software products and services in areas of business intelligence and analytics and consulting/implementation services. CRISIL had a total income of ₹992.73 crore for the year ended December 31, 2020.

“Since CRISIL Risk and Pragmatix are wholly owned shareholding subsidiaries of CRISIL, no shares would be issued as consideration for the amalgamation. As a result, there would be no change in the shareholding pattern of CRISIL on account of the merger,” the notice said.

The scheme is subject to the requisite statutory approvals, including approval of the National Company Law Tribunal, it added.

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