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As per the agreement shared with the stock exchanges on April 30, the Godrej family has decided to divide the conglomerate into two branches. Adi and brother Nadir would retain control over the listed enterprises, while cousin Jamshyd would be in charge of the unlisted companies and the land bank.

The land bank development, brand usage, and royalty problems are all covered in the agreement that was submitted to the exchanges.

What the Federal Security Administration Declares

“To preserve mutual respect, goodwill, amity, and harmony and to manage diverse expectations and varied strategic directions desired by each Family Branch, the Family Branches have agreed upon a settlement arrangement amongst the Family Branches,” the FSA stated.

On April 30, CNBC-Awaaz claimed, citing sources, that the Godrej Group had reached a friendly agreement on a family settlement and that an announcement regarding the split was imminent.

Specifics of the Contract

It is now necessary to realign the directorships and shareholding interests among different entities prior to the FSA’s implementation date and the Competition Commission of India’s clearance.

Members of Adi’s and brother Nadir’s family will present an open offer to Astec Lifesciences stockholders as part of the realignment.

Businesses must be conducted by current Family Groups in a seamless manner until the realignment’s effective date. The corporate empire added that both Family Groups own and own an equal portion of the Godrej brand.

The complete Family Settlement Agreement can be found here.

Concerning Godrej Group

The Godrej family is divided into two groups: Godrej Industries & Associates, which is run by Adi Godrej and his brother Nadir. Another wing is Godrej & Boyce Manufacturing Company (G&B), which is led by cousins Jamshyd Godrej and Smitha Godrej Crishna.

The conglomerate’s activities include real estate, consumer goods, agricultural products, home appliances, security systems, and engineering solutions.

Godrej Industries Limited, a holding company that was founded in 1897, has a broad range of interests in consumer goods, real estate, agriculture, chemicals, and financial services. It also serves as a business incubator for start-ups. Its ownership stakes are as follows: 64.89 percent in Godrej Agrovet, 23.74 percent in Godrej Consumer, and 47.34 percent in Godrej Properties.

Godrej Industries, Godrej Consumer Products, Godrej Properties, Godrej Agrovet, and Astec LifeSciences are the five listed companies in the group. As of April 30, Godrej Consumer Products has a market capitalization of Rs 1.26 lakh crore, making it the largest listed company.

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