Raymond Ltd. is demerging its real estate business to create a separate publicly traded company, Raymond Realty, allowing each entity to focus on its core strengths and growth opportunities.
Signaling a strategic shift, Raymond Ltd., a renowned textile and apparel company, announced plans to demerge its real estate division. This move aims to unlock the full potential of both Raymond’s core business and its rapidly growing real estate arm. The demerged entity, Raymond Realty (RRL), will become an independent company listed on the stock exchanges. Existing Raymond Ltd. shareholders will receive one share of RRL for every share they currently hold.
This demerger comes at a time when Raymond Realty has established itself as a significant player in the Indian property market. With a robust revenue of Rs 1,593 crore and an EBITDA of Rs 370 crore in FY24, Raymond Realty is well-positioned for independent growth. By separating the businesses, Raymond Ltd. can streamline its operations and focus on its core textile and apparel expertise.
This strategic move allows Raymond Realty to chart its course in the dynamic real estate sector, potentially attracting new investors and forging strategic partnerships. The demerger is subject to regulatory approvals, but it paves the way for an exciting new chapter for both Raymond Ltd. and Raymond Realty.
