JK Tyre & Cavendish Industries Merger: Analyzed

JK Tyre is merging with Cavendish Industries (CIL). This means JK Tyre is giving CIL shareholders a bunch of new shares to own. Essentially, it’s a swap of stock – 92 shares of CIL become 100 shares of JK Tyre.

Key Points

• JK Tyre & CIL merging through share allotment.
• 1,42,69,484 JK Tyre shares issued to CIL holders.
• 92 CIL shares exchange for every 100 JK Tyre shares.
• Share swap completed on December 24, 2025.
• Total JK Tyre shares increase to 28,82,89,511.
• Each new JK Tyre share is worth Rs 2.

Understanding the Swap

Think of it like trading Pokémon cards. CIL shareholders get JK Tyre cards in return for their old ones. This exchange happens on a specific date – December 24, 2025 – and it changes how much each share of JK Tyre is worth.

After the swap, JK Tyre has a lot more shares. This is because they’re giving shares to the people who own shares in Cavendish Industries. The total number of shares in JK Tyre now stands at 28,82,89,511.

Each of these new shares costs Rs 2. This means that the company has fully paid up its shares.

This merger fundamentally alters the ownership structure and value of both companies.