ITC s hotel business will not have any board representation from its largest shareholder, BAT, according to a demerger document. BAT will own 15.32% in ITC Hotels as foreign direct investment, making it the largest public shareholder after ITC s promoter holding of 39.93%. BAT s chief executive Tadeu Marroco stated last December that ITC s hotel business was not an area of interest for the British tobacco maker.
We do not propose to do recycling company just now. So, together it will be two companies only. And we also believe that this price of the share in the market is the right time to do the divestment so that government gets maximum value of the shares that they hold. So, if they can complete the divestment process in three to six months, then it will be very easy for us to do the restructuring.
ABFRL plans to raise Rs 2500 crore by splitting its retail business, creating ABLBL with brands like Louis Phillippe, Peter England, and Sabyasachi. The demerger aims to unlock value and support growth through equity raise.
A decade ago, Anil Agarwal had merged all his businesses into Vedanta with plans to take it private. The argument for the merger then was exactly the same as it is for the demerger now: unlocking value