The process of division of Godrej Group, the corporate house formed before independence, has started. This company was established in 1897 and its roots are linked to the independence and Swadeshi movements. At present the valuation of the group is Rs 1.76 lakh crore. But now the entire process of division in this group has started. According to media reports, members of the Godrej family are now stepping down from the boards of each other's companies, that is, they are resigning. Along with this, soon they will sell their respective stakes. Now the question arises that between whom is this partition happening and why is it happening?

Business

So first of all let's know about its business. This company group works in segments like hardware, home appliances, electronics, and space rockets. The group also includes engineering solutions, agro products, real estate, and consumer products.

Godrej Family

If we look at the Godrej family, the first name is Ardeshir Godrej, who laid the foundation of the Godrej Group. His younger brother Pirojshah Godrej. So they had four children. Whose names are Sohrab Firozshah Godrej, second Dosa Godrej, third Burjor, and fourth Naval Godrej. Now if we talk about their children, the one among whom division is taking place is Dausa's son Rashid Godrej. Burjor has sons Adi Godrej and Nadir and Naval Godrej has two children, Mashed Godrej and Smita Krishna Jamshed. That means Aadi's cousin is Nadir Godrej. Whereas, Jamshed Godrej and Smita Krishna are sisters of Jamshed. Apart from this, Rishad Godrej is the cousin of Adi, Nadir and Jamshed. 

Who is the split between?

Now let's talk about whom this split is taking place? This split is taking place between two branches of the Godrej family. On one side are Ads. Godrej and his brother Nadir Godrej and on the other side are Jamshed Godrej and his sister Smita Godrej Krishna. Godrej Industries & Associates is led by Adi Godrej and his brothers. Godrej & Boyce (G&B) is headed by Jamshed Godrej and his sister. Adi Nadir will sell his stake in Godrej & Boyce to another branch. Godrej Group includes five listed companies JCPL, Godrej Properties, Godrej Industries, Godrej Agrovet and Astec Lifesciences. Jamshed Godrej and his family members will transfer stake in God,rej Consumer Products (GCPL), and Godrej Properties to his cousins ​​under a family arrangement.

According to people related to the case

According to people associated with the case, there are assets worth about Rs 3400 crore, most of which are in Mumbai areas. She will be under Godrej & Boyce (G&B). A separate agreement will be worked out to control ownership rights. Their market cap was around Rs 2.34 lakh crore. The five listed firms have reported revenue of about Rs 42,172 crore and profit of Rs 4,065 crore in FY23. (G&B) is a privately owned company. According to experts, Godrej Family Council has resolved the main nuances related to two important points. These include the use of the Godrej brand name after the split, potential royalty payments and valuation of the land held by (G&B).