Aditya Birla Group mulls merger of Grasim & AB Nuvo

Aditya Birla Group is mulling a merger of Grasim and Aditya Birla Nuvo, followed by the hiving-off of the financial services business of AB Nuvo into a separate company.

The Grasim portfolio has the textiles and cement businesses within its fold while Aditya Nuvo, other than financial services is into garment retailing.

Earlier last year, the $41 billion Kumaramangalam Birla led Aditya Birla Group had consolidated its garments business into a single entity.

“The Group is planning another round of corporate reorganisation to unlock value and beef up the balance sheet,” the Economic Times reported quoting sources aware of the matter.

Again quoting sources, Economic Times added that a final announcement could be expected as early as this week.