Crompton Greaves to demerge consumer products business
Avantha Holdings sold a $139 million stake in Crompton Greaves in November and owned a 34.37% stake at the end of December
Mumbai: Power equipment maker Crompton Greaves Ltd’s board has approved the proposed demerger of its consumer products business, the company said on Thursday.
“(The board) decided to implement a 100% demerger of the consumer products business, such that the shareholding pattern of the resulting consumer company shall mirror the shareholding pattern of Crompton Greaves," the company said in a statement.
The company, majority owned by Avantha Holdings Ltd, had in July last year proposed a demerger of the consumer products business unit, a move that found favour among investors.
Avantha Holdings sold a $139 million stake in Crompton Greaves in November and owned a 34.37% stake at the end of December, according to Thomson Reuters data.
Crompton Greaves shares closed up 2.72% on Thursday, compared with the benchmark Sensex that rose 0.48%.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!