Adi Godrej Family Entity Exits Two Godrej Companies

RKN Enterprises, owned by Adi Godrej's cousin Rishad Naoroji, offloaded its entire equity in Godrej Agrovet Ltd. and Godrej Properties Ltd. via open market transactions on Thursday.

The promoter entity sold 41.46 lakh shares, representing 2.16% of Godrej Agrovet for Rs 331 crore. The buyers include Jamshyd Naoroji Godrej (0.37%), Navroze Jamshyd Godrej (0.37%), Freyan Crishna Bieri (0.24%), Nyrika Holkar (0.24%) and Smita Godrej Crishna (0.24%).

The shares were traded at an average price of Rs 800.05 apiece.

On the other hand, RKN Enterprises offloaded 39.86 lakh shares (2.07% equity) in Godrej Properties Ltd. for Rs 1,321 crore.

The shares were acquired by Jamshyd Naoroji Godrej (0.51%), Navroze Jamshyd Godrej (0.51%), Freyan Crishna Bieri (0.34%), Nyrika Holkar (0.34%) and Smita Godrej Crishna (0.23%).

The shares were traded at Rs 3,313.9 apiece.

Two months ago, the Godrej family, which is at the helm of a $5.7 billion sprawling empire, reached an amicable agreement to divide the group into two—a rare occurrence in the increasingly contentious world of family business splits.

Adi Godrej—the head of the family—and his brother Nadir Godrej will retain control of the five listed companies of the Godrej Group with interests in consumer goods, real estate, agriculture, chemicals, and gourmet retail.

The cousins, Jamshyd and Smita, will receive the unlisted Godrej & Boyce Mfg. Co., along with its affiliates and a vast land bank. Nyrika Holkar and Pirojsha Godrej have risen as the key next-generation leaders of the two businesses.

The plans received the green light from the Competition Commission of India in June.

Shares of Godrej Agrovet closed 1.17% higher, while those of Godrej Properties ended 0.65% lower, as compared to a flat S&P BSE Sensex.