Nirma Ltd has announced that it has formed a wholly-owned subsidiary in Delaware to carry out the acquisition of US soda ash producer Searles Valley Minerals Operations Inc & Searles Valley Minerals Inc. The entity will be called Karnavati Holdings Inc, according to information sent to the Bombay Stock Exchange. Nirma's company secretary described the move as a "strategic step" to complete the acquisition, saying that the incorporation was in accordance with an "agreement entered into with the company to be acquired." He could not say at present whether the subsidiary's role would be limited to the current acquisition or it would continue beyond. A compelling array of benefits available to Delaware business owners will accrue to Nirma, such as privacy, tax savings, convenience & flexibility, thus saving on total costs of acquisition. Delaware is one of the least expensive states in the US in which to form a corporation. It allows one individual to act as the shareholder, director and hold all the executive offices. There are no minimum capitalisation requirements. Furthermore, Delaware limited liability companies and corporations can be headquartered anywhere in the world and company records do not need to be physically located in Delaware. More than 800,000 business entities have their legal home in Delaware, including more than 50% of all US publicly traded companies and 60% of Fortune 500 firms.
