Calcutta, Nov. 29 :    Calcutta, Nov. 29:  In its bid to consolidate the graphite electrode business, the city-based K.K. Bangur group has decided to merge Carbon Everflow with the flagship company Graphite India Ltd. The boards of the two companies today approved the merger which will consolidate the group's position as the leader in graphite electrode business with 60 per cent market share. The combined sales of the merged company will be close to Rs 450 crore at the end of the current fiscal. For the first six months of the current year the combined sales of the two companies stood at Rs 192 crore. 'The name of the amalgamated company would be Graphite India Limited with its registered office in West Bengal,' Graphite India officials said after the meeting. Graphite India company secretary S. Chowdhury said as per the proposal, Graphite shareholders' will receive 14 shares of CEL for every 10 shares held on a record date to be fixed later. He said Carbon Investments Ltd, a fully-owned subsidiary of CEL will also merge with the company. Graphite Holdings Ltd and Graphite Investments Ltd, the two wholly-owned subsidiaries of Graphite India will also be merged with each other and their scheme of merger will be considered separately, Chowdhury said. CEL has three units in Nasik manufacturing graphite electrodes (10,000 mtpa), anodes and carbon paste, impervious graphite equipment and glass fibre reinforced plastic pipes and tanks besides a 7.5 MW multi-fuel power generating plant. It exports about 77 per cent of its total production. Chowdhury said the merged entity will have a total power generation capacity of 33 MW and will consolidate the group's position as the market leader with domestic market share of around 60 per cent. Explaining the rationale behind the merger, Chowdhury said it will bring in higher operational synergies due to reduction in sales, administrative and manufacturing overheads and operational efficiencies and at the same time will enhance competitiveness of the operations of both the companies.