The creditors of India’s leading chemical & textile company GHCL have approved the demerger of its Inorganic Chemicals and Textile businesses. The company had announced restructuring in March 2020. It will now seek approval from the National Company Law Tribunal (NCLT).

The company expects this demerger to help it achieve a focused growth, concentrated approach, business synergies and increased operational and customer focus. In addition, the demerger is expected to address independent business opportunities with efficient capital allocation and attract different set of investors, strategic partners, lenders and other stakeholders. It will also help the company cater to the different needs of the diverse businesses in a better way and aid value creation for our stakeholders.