“Over the past few years, GHCL Limited has delivered a significant operational performance, consistently generated healthy cash flows, and strengthened its balance sheet. At the same time, we have meticulously enhanced our footprint through various value-creating capacity and capability augmentations. Having distinct operating entities shall allow both businesses to prioritise relevant focus areas and respond to market opportunities in a nimbler manner. This demerger is envisaged to create strong independent businesses uniquely positioned to enhance stakeholders’ value over time,” RS Jalan, managing director, GHCL Limited, said in a press release.
GHCL Limited has completed the demerger of its spinning business, effective from April 1, 2023; the newly demerged business will be known as GHCL Textiles Limited.
The move is aimed at allowing both businesses to prioritise focus areas.
GHCL Textiles Limited is set to list on the National Stock Exchange and Bombay Stock Exchange after regulatory approval.
The record date to determine the eligibility of GHCL Limited shareholders to receive shares of GHCL Textiles Limited is April 8, 2023. GHCL Textiles Limited is set to list on the National Stock Exchange and Bombay Stock Exchange post regulatory approval.
Fibre2Fashion News Desk (NB)