Jubilant Industries Ltd, (JIL) a leading Agri & Performance Polymers company, headquartered in Noida, India, announced today that its board has approved the scheme of arrangement to restructure its businesses by vesting its Agri and Consumer Products business (ACP) with its wholly-owned subsidiary Jubilant Agri and Consumer Products Ltd. (JSCPL)
Commenting on this development, Hari S Bhartia, Chairman of Jubilant Industries Ltd said:
“Jubilant Industries’ foray into Mall cum Hypermarket format is a strategic initiative that will enable the Company to grow faster and deliver better value to all its stakeholders. It will also facilitate better utilization of the resources to be deployed in the high growth Mall cum Hypermarket business which has huge untapped potential. Jubilant Bhartia Group has nurtured this business for over a decade and this move will enable both the businesses to grow to the next level and create a better value proposition”
Benefits of the Scheme (JIL & JACPL)
- This business restructuring between JIL, JACPL, and EOPL will enable focused growth and value realization across operating entities and is in the best interest of the shareholders, creditors, and employees and would result in enhancement of shareholder value for all entities.
- To foray into Mall cum Hypermarket format – an upcoming sector with immense untapped potential.
- To enable effective utilisation of the surplus cash generated by the ACP business of JIL for growing this business.
- To enable the company to attract a different set of investors, strategic partners, who can bring relevant experience for the growth of this business.
- To provide growth prospects to shareholders and enable value creation.