Godrej Group reportedly nears finalization of family settlement for business division

The Godrej Group is reportedly on the verge of announcing a significant split within its diverse business empire. According to sources close to the matter, the company is expected to finalize a family settlement today, April 30, which is anticipated to be conducted in an amicable manner.

The conglomerate, known for its expansive portfolio spanning engineering solutions, home appliances, security solutions, agricultural products, real estate, and consumer goods, has long been managed by different factions of the Godrej family.

One faction, led by Adi and Nadir Godrej, is projected to gain control over most of the listed companies within the group. Meanwhile, the other faction, represented by Jamshyd Godrej and Smitha Godrej Crishna, is expected to retain control over entities such as Godrej & Boyce Manufacturing Company.

The impending agreement is set to address various key issues, including matters related to royalty, brand usage, and the development of land banks, as per the sources.

Established in 1897, Godrej Industries Limited serves as the holding company for a diverse range of interests, spanning consumer goods, agriculture, real estate, chemicals, and financial services. Notably, it holds significant stakes in several prominent entities, including a 64.89% stake in Godrej Agrovet Ltd, a 23.74% stake in Godrej Consumer Ltd, and a 47.34% stake in Godrej Properties Ltd.

With five listed firms under its umbrella—namely Godrej Industries, Godrej Consumer Products, Godrej Properties, Godrej Agrovet, and Astec LifeSciences—the Godrej Group has been a prominent player in various sectors. Among these, Godrej Consumer Products stands out as the largest, boasting a market capitalization of Rs 1.26 lakh crore as of April 30, underscoring its significant presence in the market.

As the Godrej Group embarks on this transformative journey, the impending division of its businesses signifies a new chapter in its longstanding legacy, potentially paving the way for enhanced focus and strategic direction within each entity.