Crompton Greaves (CG), an engineering firm, has announced that the board of directors of the company has approved a new scheme of arrangement for the vertical demerger of consumer products business unit of CG into its wholly owned subsidiary, Crompton Greaves Consumer Electricals.

The new scheme consists of 100% demerger of the Consumer Product business, such that the shareholding pattern of the Resulting Consumer Company shall mirror the shareholding pattern of CG. The Scheme based on this principle was today considered and approved by the board.

Shares of the company gained Rs 1.25, or 0.7%, to trade at Rs 181.05. The total volume of shares traded was 442,314 at the BSE (3.13 p.m., Tuesday).