Vishal Cotspin - Outcome Of Board Meeting

Vishal Cotspin Ltd has informed that the Board of Directors of the Company at its meeting held on March 26, 2007, has unanimously approved the scheme of merger of the Company with Madanapalle Spinning Mitts Ltd (MSM).The merger shall be subject to necessary approvals and sanction of the Honble Board for Industrial and Financial Reconstruction (BIFR) and provisions of Section 18(1)(c) and other applicable provisions of Sick Industrial Companies (Special Provisions) Act, 1985 and approval of Shareholders of the Company. Since the Company is under the Jurisdiction of the Honble BIFR, the merger will be effected through the Honble BIFR.The merger will help achieving scale, size, integration, and enhanced financial strength along with the flexibility to pursue future growth opportunities, both organic and inorganic, within and outside India.