Kolkata:
Multi-business conglomerate ITC Limited did not provide a concrete plan for the demerger and listing of companies to unlock value at its analyst meeting on Tuesday, but does not rule out the possibility that these are options for the company, according to analysts who attended the occasion.
The market expected some concrete announcements from corporate management in this direction during the meeting.
When analysts asked about the split of the FMCG business and unlocking ITC Infotech by listing, management said the company is undergoing periodic reviews and is not ruling out any options.
The company’s top management who attended ITC’s meeting of institutional investors and analysts reportedly said the hotel business split option was also off the radar as it waits for the company to revive and the conglomerate continues to monitor each of its businesses. .
Analysts said ITC authorities pointed out that the FMCG business had been incubated to leverage the company’s existing institutional strength. The hotel and paper businesses were initially separated but later merged to achieve the stated goal.
Sources said ITC planned to invest Rs 10,000 crore over the next three years and was open to more acquisitions. It is expected that a large part of the investments will go to vertical markets such as FMCG and carton.
The company will continue to focus on digital and is taking several initiatives to make its operations more efficient and agile.
The company’s spokesperson did not comment on the conduct of the analyst meeting.
ITC shares fell 2.38 percent on Tuesday, closing at Rs 228.3 on the Bombay exchange.