GSPC Gas Company Limited, Gujarat Gas Company Limited amalgamation proce

The arrangement in nature of amalgamation of GSPC Gas Company Limited, Gujarat Gas Company Limited, Gujarat Gas Financial Services Limited and Gujarat Gas Trading Company Limited with GSPC Distribution Networks Limited and Restructuring of share capital of GSPC Distribution Networks Limited has been completed.

The new amalgamated entity, Gujarat Gas Limited, has emerged as India’s largest city gas distribution player with presence spread across 19 Districts in the State of Gujarat and Union Territory of Dadra Nagar Haveli and Thane GA (including Palghar district) of Maharashtra. The new entity has India’s largest customer base in major user segments: 10,23,000 domestic households , 2,750 industrial customers, 14,000 commercial customers, 230 CNG stations selling 7,65,000 kgs of CNG per day.

The total daily gas sales volume has reached upto 6.5 MMSCMD which is highest in India.  With this amalgamation, the newly formed company’s market capitalisation stands at Rs. 10,600 crore (considering closing price on National Stock Exchange as on May 15, 2015) which shows company’s increased valuation and importance. The size and reach of the amalgamated company gives it a capacity to achieve competence and ability to effectively manage progressive changes in this sector.

Speaking on this event, Shri Saurabhbhai Patel, Minister for Finance, Energy and Petrochemicals, Govt. of Gujarat said “Gujarat has been the leader in moving to a gas-based economy and with this amalgamation we will now help to develop city gas distribution infrastructure in other states.” The minister added “Under the aegis of Govt. of Gujarat, this new amalgamated company Gujarat Gas Limited will continue to expand its reach within and outside of Gujarat to convert more and more industrial, vehicular and residential users to the environment friendly gas from other polluting fuels.”