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2 min read Last Updated: 26 August 2024 | 07:07 PM IST
Raymond Lifestyle (RLL), a spun-off unit of Raymond, has expanded its board of directors by bringing in Rajiv Sharma as an independent director of the company.
With Sharma's appointment, the size of RLL's board will increase to 10 members, of which seven will be independent directors.
Sharma previously worked at Coats Group, a UK-based manufacturer of yarns and structural components for apparel, footwear and performance materials, and has also served as a director of a joint venture between GE Energy and Shell, as well as held management positions at Saab Systems and Honeywell.
RLL, a branded textile and apparel company, is set to go public in early September after being separated from Raymond last month.
“The diverse and deep expertise of our Board of Directors will complement the passion and commitment of the RLL management team in pursuing significant opportunities in the country, including in the wedding, apparel and sleepwear segments,” said Gautam Hari Singhania, Chairman, RLL.
RLL owns popular brands such as Park Avenue, ColorPlus, Parx, Raymond Made to Measure and Ethnix.
Mumbai-based Raymond Group has also decided to spin off its real estate business Raymond Realty (RRL).
The group will now have three independent publicly listed companies: parent company Raymond, which will focus on engineering, tools and hardware, automotive parts and aerospace and defence businesses;
Raymond's shares closed at Rs 2,020, down 2.1%, giving the company a market capitalisation of Rs 13,448 crore.
“In our sum-of-the-parts based model, we value the real estate business at 8x FY26 forecast EV/EBITDA, assuming pre-sales of Rs 4,000 crore and EBITDA margins of 25%, reaching a valuation of Rs 8,000 crore (Rs 1,200 crore per share). The lifestyle business is assigned a P/E of 20x FY26 forecast, reaching a value of Rs 2,340 crore per share. The engineering business is valued at 8x FY26 forecast EV/EBITDA, reaching a value of Rs 250 crore per share,” Motilal Oswal's recent note said.
First Published: 26 August 2024 | 06:50 PM IST
