Adi-Nadir Godrej Family To Acquire 12.65% Stake In Godrej Industries Under Family Agreement

Nadir Godrej, Pirojsha Godrej, Tanya Dubash and Nisaba Godrej factions have submitted a proposal to acquire shares of Godrej Industries Limited ("GIL"), from RKN Enterprises, the stock exchange filing by the group said on Tuesday.

RKN Enterprises, owned by Rishad Naoroji, a cousin of Adi Godrej, is estimated to sell a 12.65 per cent stake in Godrej Industries for Rs 3,858 crore through block deals.

The transaction, to be executed through block deals at a weighted average price of Rs 858.09 per share, will be valued at Rs 3,653 crore. Based on Tuesday's closing price of Rs 897.80 per share on the BSE, Naoroji's shareholding, part of RKN Enterprises, a promoter entity of Godrej Industries, is worth Rs 3,829 crore.

This indicates a block deal price discount of about 5 per cent compared to Tuesday's closing price, according to BSE data.

Besides Nadir Godrej, Adi Godrej's children, Pirojsha Godrej, Tanya Dubash, and Nisaba Godrej will be acquiring a stake in the company, as per the statement. Their total shareholding in Godrej Industries, the holding company of the Godrej Industries Group (GIG), will increase from 31.18 per cent to 43.83 per cent following the block deal.
Last month, the founding family of the 127-year-old Godrej Group, which deals in locks to soaps, aerospace to real estate, announced to split of the company in a joint statement.

The Godrej family had also announced an ownership realignment of their shareholdings in the Godrej Companies.

The family said in the statement that the move is expected to help maximise strategic direction, focus, and agility, and will accelerate the process of creating long-term value for shareholders and all other stakeholders.

Jamshyd Godrej said last month, "With this future-facing family agreement now in place, we can further drive our growth aspirations with fewer complexities and focus on leveraging our core strengths in high-tech engineering and design-led innovation across our strong portfolio of strategic, consumer and emerging businesses."

Nadir Godrej further added, "Godrej was founded in 1897 to help build economic independence for India. This deep purpose of innovating for a cause - the values of trust and respect and the belief in trusteeship and making communities that the companies operate in stronger and better - continue to form the bedrock of who we are 125 years later. We look forward to building on this legacy with focus and agility."(ANI)