India Glycols shares climbed to a day high of Rs 236.20 on Wednesday, up 5%, after its demerger into three separate companies took effect.

The restructuring became effective from September 1, following approval from the National Company Law Tribunal.

It splits India Glycols into three focused businesses, each meant to be run and valued on its own merits rather than as one large conglomerate.

India Glycols Limited will continue as the listed chemicals business, covering glycols, bio-glycols, specialty products and industrial gases.

This unit reported revenue of Rs 345 crore and EBITDA of Rs 40.2 crore for the June quarter. Two new entities have been carved out alongside it.

IGL Spirits Limited will run the company’s liquor and biofuel operations, covering Indian Made Foreign Liquor, country liquor and biofuels.

It is the largest of the three by revenue, having reported Rs 694 crore in sales and Rs 120 crore in EBITDA for the same quarter.

The third entity, Ennature Bio Pharma Limited, will house the biopharma and biopolymers businesses.

It posted revenue of Rs 90 crore and EBITDA of Rs 10 crore in the June quarter. On the share entitlement, September 2 has been fixed as the record date.

Shareholders will get one IGL Spirits share for every India Glycols share they hold, and one Ennature Bio Pharma share for every three India Glycols shares held.

Both new entities plan to apply for listing on the NSE and BSE separately.

Before the split, India Glycols as a combined entity had reported healthy growth for the June quarter, with revenue up 8.65% and net profit up nearly 33% from a year earlier.

Going forward, investors will be watching how debt and assets get divided among the three companies, along with the timeline for the fresh listings.

India Glycols shares closed the day at Rs 236.20, up 4.98% from the adjusted previous close, marking its first trading session as a standalone chemicals business.

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