 "Marico shares hit one-year high on rejig plan")
Mumbai: Shares of FMCG firm Marico today rose by nearly 5 percent to one-year high after the company’s board approved restructuring of its businesses, corporate entities and the organisation from April 1.
After making a positive opening, shares of the company surged 4.94 percent to Rs 238.7 on the BSE. At the NSE too, the stock jumped 4.88 percent to Rs 238.50-its 52 week high level. Marico yesterday said it will demerge its Kaya skin care business into a separate entity and list it independently on bourses, as part of the company’s business restructuring process.
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The company’s board has proposed to create two separate companies through partitioning of the current Marico. Screengrab from site[/caption]
As part of the restructuring process, the company’s Consumer Product Business (CPB) and International Business Group (IBG) will now form a unified FMCG business while Kaya will be re-defined as a separate business, Marico had said.
The company’s board has proposed to create two separate companies through partitioning of the current Marico , into an FMCG business company which is Marico (already in existence) and a Kaya business company which will be Marico Kaya Enterprises Ltd (MaKE, to be formed).
As a consideration, the shareholders of Marico Ltd as on the record date shall be issued one share of MaKE with a face value of Rs 10 each to be issued at a premium of Rs 200 per share for every 50 shares of Marico with a face value of Re 1 each, it added.
Meanwhile, rally in the stock was in contrast with an overall sluggish stock market where the BSE benchmark Sensex was trading at 19,661.62, down 29.80 points at 1117 hrs.
PTI