Mumbai

Pudumjee Group recasts business

The Group had last year sold the iconic Jatia House at Malabar Hill to Kumar Mangalam Birla for Rs 425 crore—Photo: PTI  

The Pudumjee Group has set into motion a restructuring process under which they will streamline their core paper and real estate businesses.

The group hit the headlines last year when it sold the iconic Jatia House at Malabar Hill to industrialist Kumar Mangalam Birla for Rs 425 crore.

It has now spun off its paper business into a separate unit, which will be listed as a new entity called Pudumjee Paper Products Limited (PPPL). The new firm will have an installed capacity of 60,000 tonnes and a turnover of about Rs 500 crore.

The group’s existing firms, Pudumjee Pulp & Paper Mills (PPPM), Pudumjee Industries Ltd (PIL) & Pudumjee Hygiene Products Ltd (PHPL) have spun off their respective paper-related business and manufacturing assets, as well as related liabilities, into the new entity. The transfer includes a plant, machinery, and about 80 acres of land at Mahad, which were acquired from Global Boards Limited a few years ago.

All employees of the existing three companies, who are in the paper business, have moved to the new entity, the company said in a statement.

The group also said the residual companies, Pudumjee Pulp & Paper Mills and Pudumjee Industries, will operate as real estate development companies with an available land bank.

Pudumjee Pulp & Paper Mills also has a wind power generation business with 4600KW installed capacity. Pudumjee Hygiene Products, a 100% subsidiary of Pudumjee Industries, will concentrate on the machinery leasing business.

The shares of Pudumjee Pulp & Paper Mills as well as Pudumjee Industries are being traded ex-demerger since February 11, 2016, and the new entity will start trading within few months, the firm said.

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Printable version | Apr 23, 2021 9:55:13 AM | https://www.thehindu.com/news/cities/mumbai/pudumjee-group-recasts-business/article8278646.ece

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