HOME > BUSINESS > Raymond shareholders reject sale of JK House flats to promoters

Raymond shareholders reject sale of JK House flats to promoters

Shareholders of Raymond Ltd rejected the sale of apartments in the company’s headquarters JK House to certain promoters.

Chairman of the company Gautam Singhania had urged shareholders to vote against the resolution as the sale of the apartments would cause losses to the company as a whole.

Four duplex flats were let to four members of Gautam Singhania’s immediate family, including his father Vijaypat Singhania and cousin Akshaypat Singhania from 1994 onwards at a rent of Rs 7,500 per month per flat.

An agreement was signed that these flats would be sold to the tenants at Rs 9,200 per sq. ft after JK House was renovated by Raymond.

The agreement was rejected by shareholders today, even though the tenants have gone for litigation on the matter.

“Today at the 92nd Annual general meeting of the company held at its registered office in Ratnagiri, the company had put forth all relevant facts pertaining to tripartite agreement between the company and related parties, with respect to apartments in J.K. House for shareholders considered decision making. The shareholders voted against the resolution,” Raymond Ltd said.

Commenting on the development, Gautam Hari Singhania, Chairman and Managing Director, Raymond Ltd said “I am happy with the outcome of voting against the resolution as this decision by shareholders is in the best interest of the company and shareholders and is aligned to my personal opinion on this issue expressed earlier.”

“With sustained efforts towards innovation and zest for quality, the renewed growth focus of the company is to revitalize the core business of textiles and high growth in its apparel business. The company is adapting an asset-light model for retail expansion in smaller towns for increased market penetration by leveraging the brand equity thus ensuring better value creation,” the textile maker said.

Last week, the management said that the audit committee and board of directors decided that the matter should be placed before the shareholders after disclosing all relevant facts, for their opinion and vote.

Gautam Singhania abstained from voting on the resolution.

Follow ULTRA.news
Raymond opens Ethiopia factory to cut costs, easy access to US, EU Textiles and garments brand Raymond inaugurated a garment manufacturing plant in Ethiopia to gain duty-free access to the US and European markets.The plant was set up at a cost of Rs 100 cr and will employ over 2500 people in the first phase. More people will join later, the...
Apparel exporters bemoan rising rupee, seek support Apparel manufacturing is a big job creator in Tamil NaduIndian apparel makers have sought government intervention to stabilize the rupee, which has been rising in recent months, in stark contrast to the situation in other countries that compete with India in exporting garmen...
Industry welcomes move to include made-ups in apparel package SIMA has welcomed the move include made-ups in the apparel packageThe industry has welcomed the move by the government led by Narendra Modi to extend support to the made-ups export industry and said it would help the sector break out of its current slump.The cabinet had ...
Nike starts online sales in India US sports goods manufacturer Nike has started online retail operations in India via its portal Nike.com.India-based users can now order from the global portal and have it home delivered.Earlier, only certain markets such as Australia, Hong Kong and Indonesia were bein...
Aditya Birla´s fashion and retail unit ties up with UK luxury brand Ted Baker Aditya Birla Fashion and Retail Ltd said it entered into agreement with UK based fashion brand Ted Baker.Ted Baker London is a British luxury clothing retail company."We are happy to join hands with Ted Baker and build a strong presence for the brand with Indian consumers...
V2 Retail opens its 32nd store in Sitamarhi, Bihar Value retailer V2 Retail Ltd. said it has opened a new retail store at Sitamarhi, Bihar.By this launch V2 retail currently has 32 operational retail stores across the country.V2 Retail Limited is a retail company in India.It offers more than 70,000 products including...
Ranveer Singh’s rap song for Jack & Jones campaign to go live tomorrow Bollywood´s peppy boy Ranveer Singh will promote the international fashion wear Jack & Jones new campaign "Don´t hold back".The fashion brand has chosen the Bajirao Mastani actor as their new brand ambassador. And the fashion star along with the brand has already made a r...
Nandan Denim to issue 50 lakh warrants at Rs 200 each Nandan Denim Limited (NDL), a Gujarat- based fabric manufacturer, said it is planning to issue 50 lakh convertible warrants to foreign investors at Rs 200 each, aggregating to Rs 100 cr."The company will be issuing 25 lakh fully convertible warrants each to Foreign Portfo...
Mumbai based company claims to make water-absorbing synthetic fabric A Mumbai based company, Fiberweb India, has claimed to have setup facility to modify water repellant properties of polypropylene fabric and transform it into a water absorbing (hydrophilic) substance.Polypropylene, like most petroleum-based synthetic fibers, repels water. Thi...
Pearl Global revenue grows 33%, profits up 6% Pearl Global, one of India’s largest garment maufacturers and exporters, said that their first-quarter revenue grew by 33% to Rs 3,757 crore from 2,820 crore owing to strong growth in demand.The profit though grew by just 6% to Rs. 130 crores from Rs 122 crores due sharp rise...
What’s the fuss about, asks industry group Industry association ASSOCHAM, which has members from most of the big industrial groups in India, today said the opaque nature of decision making in India should be done away with to prevent incidents like the latest 'corporate espionage' involving top industrial houses in India....
FTIL responds to BSE notice on “undervaluing” MCX shares in KOTAK deal Jignesh Shah's Financial Technologies India Ltd asked Bombay Stock Exchange to specify the exact basis on which the exchange, which held unsuccessful negotiations to buy a stake in MCX, was questioning the company's decision to sell most of its stake in MCX to the Kotak group at ...
World’s longest fashion show to be held in Goa The world's longest fashion show will be held in Goa in August, and will go on for 100 hours (4 days) without a break.Over 100 fashion designers, about 1000 male and female models, 35 choreographers, 150 make up artistes, 100 stylists and 50 photographers are expected to par...