Sintex Industries Ltd has informed BSE that in a circular resolution passed on June 30, 2008, the Board of Directors of the Company have considered and approved a Scheme of Arrangement (”the Scheme”) between the Company and its equity shareholders. The Scheme envisages a financial restructuring exercise for the Company by earmarking an amount of INR 200 crore from its Securities Premium Account as on March 31, 2008 towards the “International Business Development Reserve”. International Business Development Reserve so created would be utilized towards the Company’s inorganic growth related costs as may be identified by the management of the Company to be appropriate, on stand alone as well as consolidated basis.

The Scheme is subject to requisite consents / approvals of the requisite majority of the shareholders of the Company, the Hon’ble High Court of Gujarat at Ahmedabad, Stock Exchanges, the permission or approval of any other statutory or regulatory authorities, which by law may be necessary for the implementation of the Scheme.