Gulf Oil Corporation Limited, a Hinduja group company, has announced a restructuring of the explosives business of the company. The company, (formerly known as IDL Industries Limited ) has been in business for 50 years and over these years, it has diversified organically and inorganically. Currently, the company has four autonomously managed divisions namely lubricants (53% of the revenue), explosives (29% of the revenue) and contract mining (21% of the revenue) while the real estate segment is now being developed into a major revenue earner for the future. In a release, the company said that steps for the scheme of de-merger of the business into a 100% wholly-owned subsidiary is expected to be completed over the next few months. The subsidiarisation of the packaged and bulk explosives business will allow the company to have a level-playing field with majority of competition who are focused on the explosives business.
Last year, the company had a turnover of Rs 1,066 crore and it was felt that the business model needed to be reviewed to allow growth for business segments.
