Escorts Announces that it will not Separate Entities

Escorts Announces that it will not Separate Entities Escorts Group in Delhi has just announced that it will make no plans to separate its three biggest businesses: agri-machinery, construction, and material handling equipment anytime soon.

A recent report in the newspaper states that the company was planning to lists its verticals but they will not longer separate the entities.

The purpose was to unlock the value of each entity and gain a good price. However, a spokesperson from Escorts states that they no longer plan to do that soon but a list opting to separate will take at least three to four years.

Nikhil Nanda, joint MD, Escorts, said: "The idea is to de-clutter the businesses and list them to offer the investor enough choice. Over a period of time, investors looking at the group will have a choice of investing in Escorts, Escorts Construction Equipment or the railway equipment".

The company's shares have risen 3% after the Times of India reported that it will not be planning to separate entities. As of today, Joint Managing Director, Nikhil Nanada, stated that there is no time line made yet when it comes to Escorts' future plans.