In re Renault Nissan Automotive India Private Limited (NCLT Chennai)
The National Company Law Tribunal (NCLT), Chennai Bench, allowed a company application filed under Sections 230 to 232 of the Companies Act, 2013 seeking directions in relation to a Composite Scheme of Arrangement involving Renault Nissan Automotive India Private Limited (Demerged/Amalgamating Company), Renault India Powertrain Private Limited (Resulting Company), and Renault India Private Limited (Amalgamated Company). The Scheme provides for the demerger of the powertrain manufacturing business from the first applicant company into the resulting company, followed by the amalgamation of the demerged company with the amalgamated company.
The applicant companies placed before the Tribunal their Memorandum and Articles of Association, audited financial statements as on 31 March 2025, unaudited financial statements as on 28 February 2026, and Board resolutions approving the Scheme. The Tribunal noted that the Scheme aims to separate the powertrain manufacturing business and the remaining business into focused entities with dedicated management, independent operational planning, improved resource allocation, optimized governance, and enhanced operational efficiency. It also proposes the subsequent merger of the amalgamating company with the amalgamated company to integrate manufacturing, assembly, marketing, and sales activities within a single entity, with the stated objective of streamlining the corporate structure and improving coordination and operational visibility.
