BAJAJ BROKING
ITC's hotel business demerger is progressing, set to be completed in six months. Listing is expected by year-end. ITC will hold 40% of the new entity, whereas the shareholders will hold the remaining 60%.
Diversified conglomerate ITC announced on Friday, July 26, that the demerger of its hotel business is proceeding as planned and should be completed within the next six months. Investors eye the ITC share price movements in anticipation of the updates about the demerger.
Addressing the media after ITC's Annual General Meeting (AGM), Chairman and Managing Director (CMD) Sanjiv Puri confirmed that the demerger process is on schedule. The company expects the listing of the hotel business to occur within the 15-18 month timeframe initially mentioned during the demerger announcement last year.
Chairman Puri suggested that the hotel business could be listed by the end of this year, depending on regulatory approvals and processes.
The demerger of ITC's hotel business into a separate entity was approved last August. According to the scheme of arrangement, ITC will retain a 40% stake in the new entity, while the remaining 60% will be distributed among shareholders.
Shareholders will receive one share of the hotel business for every 10 shares they hold in ITC. The demerger received approval from the Competition Commission of India (CCI) in May and from shareholders in June this year.
On Friday, the ITC share price closed at ₹501.55 on the NSE, reflecting a rise of ₹12.80 or 2.61%. Year-to-date, the stock has given a return of 7.16%, whereas the one-month return stands at 16.90%.
ITC's strategic move to demerge its hotel business aims to streamline operations and unlock value for shareholders. With the demerger set to be completed within the next six months and the listing expected by year-end, ITC is positioning itself for enhanced growth and profitability in the hospitality sector.
The company's ongoing initiatives to boost productivity and explore new revenue streams further underscore its commitment to driving long-term value creation for its stakeholders.
Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing. This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
For All Disclaimers Click Here: https://bit.ly/3Tcsfuc
Share this article:
Share Market Today | Indian Markets Eye Flat to Positive Opening
15 Oct, 2024 | 4 Min. read
JSW Infra Wins Bid for New Port in Maharashtra
15 Oct, 2024 | 2 Min. read
Maruti Suzuki Unveils New Baleno Regal Edition
15 Oct, 2024 | 2 Min. read
Sterling & Wilson Wins ₹823cr Order, Q2 Boost
15 Oct, 2024 | 2 Min. read
J Kumar Infra Secures ₹298 Crore Pune Order
15 Oct, 2024 | 2 Min. read
Commodities Market Today | Oil Drops on OPEC Outlook, Metals Also Fall
15 Oct, 2024 | 1 Min. read
Gold Rate Today | Gold Drops 0.3%, Silver Falls 0.8% in Market
15 Oct, 2024 | 2 Min. read
HDFC Life Q2 FY’2024-25 Results
15 Oct, 2024 | 3 Min. read
HAL Elevated To Maharatna Status For Greater Autonomy
14 Oct, 2024 | 2 Min. read
Oil Prices Dip As China Falls Short On Stimulus, Israel-Iran Tensions Rise
14 Oct, 2024 | 2 Min. read
JSW Energy Inks Deal For 1,500 MW Pumped Hydro Storage
14 Oct, 2024 | 2 Min. read
CCPA Directs Ola To Allow Refunds Via Bank Or Coupon
14 Oct, 2024 | 2 Min. read
RBI Launches ULI: Transforming Loan Access
August 27, 2024 | 4 Min. read
Textile Sector in India
September 20, 2024 | 5 Min. read
List of IPOs with DRHPs Filed
November 30, 2023 | 3 Min. read
Aditya Birla Group
September 28, 2023 | 10 Min. read
Bajaj Housing Finance Ltd IPO: Things Smart Investors Need to Know
September 05, 2024 | 4 Min. read
Budget Stock Ideas 2024-2025 | Stocks to Buy Today
July 24, 2024 | 4 Min. read
IPO Eligibility Criteria : Full Details
March 15, 2024 | 6 Min. read
What Is the Lock-In Period in IPOs?
October 18, 2023 | 6 Min. read
Godfrey Phillips Announces 2:1 Bonus Shares
September 16, 2024 | 7 Min. read
Jindal Group- A Comprehensive Analysis
September 27, 2024 | 7 Min. read
Level up your stock market experience: Download the Bajaj Broking App for effortless investing and trading