1.76 lakh crore Godrej Group on the brink of demerger

News of Tuesday, 3rd October 2023

1.76 lakh crore Godrej Group on the brink of demerger

The company is 126 years old, after Ambani, Tata, Ruia Brothers, now there is a sign of division in the oldest corporate house of the country.

Mumbai, Date 3: Whenever it comes to leading business houses of the country, Ambani, Tata, Birla, Godrej’s name is counted. Now there is news that the 126-year-old Godrej Group may split. 1.76 lakh crore, the exercise of dividing the business has started. What is the matter and how will this great family be divided, Let’s find out.

A corporate division is also special because it involves the future of the family as well as many others. And the most important thing is that there are many complications in the division of large industrialists. If you remember the split between Mukesh Ambani and Anil Ambani, you can understand this.

Whenever the name of Godrej Group comes up, Locks are the first thing that comes to mind. In fact, the Rs 1.76 lakh crore Godrej Group started its journey by selling locks. This group, One of the oldest companies in India, It was started 5 decades ago. According to a report in the Economic Times, Now there are talks about the division of this group. According to sources, the talks have reached an advanced stage and an official announcement may be made soon.

Godrej Group currently has 5 listed companies. Among them is Godrej Industries, Godrej Consumer Products, Godrej Agrovet, Includes Godrej Properties and Lifesciences. Currently there are two factions in the Godrej family. Godrej Group chief Adi Godrej and his brother Nadir control Godrej Industries & Associates. While Godrej Godrej & Boyce Manufacturing Company is headed by Adi Godrej’s cousin Jamshed Godrej and Smita Kalshana Godrej. Now the news is that engineering, Security, Agri, The verticals of this group can be divided into real estate and consumer products. You will be surprised to know that today the valuation of the group is 1.76 lakh crore rupees. It once started with selling locks. Now this group has expanded its reach so much that it is trying its hand in almost every field. 42 for the financial year 2023,It has achieved a huge revenue of 172 crore rupees. Talking about the profit, during this period, the profit of the company has crossed 4000 crore rupees.

Where can the screw stop?? :

Any large business division has many complications. Talking about Godrej Group, here also a problem can be seen. According to experts, It is important to resolve the issue of 3400 acres of land owned by the company. Due to equity crossholding there is a problem in distribution of this land. However, Efforts are being made to resolve this issue internally. In fact, The biggest problem in solving this is its evaluation.

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