2024-08-02 14:26:47
New Delhi: Adani Enterprises (AEL), a company led by billionaire Gautam Adani, has taken a big decision to benefit its shareholders. The company will separate its food FMCG business and merge it with Adani Wilmar. Adani Enterprises has a 43.94 percent stake in Adani Wilmar through Adani Commodities. Under this deal, AEL shareholders will get 251 shares of Adani Wilmar for every 500 shares of AEL. Adani Enterprises believes that this will directly benefit the shareholders of the company. This will help Adani Wilmar to strengthen its position in the edible oil and FMCG sector. Reliance Consumer Products Limited is the main company of Reliance in the FMCG sector. Mukesh Ambani is also engaged in strengthening his position in the sector. This move of Gautam Adani will create a stir in the FMCG sector. A tough competition can be seen between the two business giants here.
Why has this decision been taken?
Adani Enterprises said in a statement to the stock exchange, ‘This demerger will directly unlock value for the shareholders of the demerged company in the resulting company. This will open the way for sustainable growth with a focused strategy, which will benefit all stakeholders and people associated with the companies.’
The demerger scheme also includes a strategic investment by Adani Enterprises in Adani Commodities. The company said that the risks, competition, challenges, opportunities and business methods for the food FMCG business are different from the other businesses of the demerged company. The food FMCG business and other businesses of the demerged company may attract different types of investors, strategic partners, lenders and other stakeholders. That is why the company has proposed to separate the food FMCG business through demerger.
How is the report card of Adani Enterprises?
Meanwhile, the company’s consolidated net profit for the June quarter rose 116 percent year-on-year to Rs 1,454 crore from Rs 674 crore in the same period last year. Revenue from operations during the reporting period grew 12 percent year-on-year to Rs 25,472 crore from Rs 22,644 crore in the same period last year.
Adani Group Chairman Gautam Adani said, ‘Adani Enterprises Limited (AEL) is further strengthening its position as India’s leading business incubator and a global model in infrastructure development.’