Mandhana Industries extended losses on Wednesday as its shares were again locked in lower circuit for second day of 10 per cent at Rs 160.25 following company's demerging process of its retail business - Being Human.
Mandhana Industries extended losses on Wednesday as its shares were again locked in lower circuit for second day of 10 per cent at Rs 160.25 following company’s demerging process of its retail business – Being Human. The shares of the company have fallen 28 per cent in the past two trading sessions.
The scrip opened at Rs 160.25 and has touched a high and low of Rs 160.25 and Rs 160.25, respectively on Wednesday. The scrip closed at Rs 222.55 on Monday and at Rs 178.05 on Tuesday.
In a letter to investors, which is available on BSE, the company said, “it has already received the approval to its scheme of demerger of the retail business from the High Court vide order dated March 29, 2016. Pursuant to the said order, the company is in the process of demerging its current retail business into the Resulting Company, Mandhana Retail Ventures Limited (MRVL). All current and future retail businesses of Mandhana Industries Ltd will henceforth be carried out in the Resulting Company.”
Mandhana Retail Ventures Limited is in the process of signing a new contract with the Being Human – The Salman Khan Foundation, the specifics of which are under negotiation with them, the company further added.
In April this year, Being Human Clothing, which was operating as a retail division of Mandhana Industries, demerged from the company to form Mandhana Retail Ventures (MRVL).
MRVL will manufacture, retail and distribute the brand. Being Human was operating as a retail division of Mandhana Industries from 2012 to 2016.