Globe Textiles (India) Limited has informed the Exchange regarding a press release dated July 21, 2025, titled "Media release issued by the Company with regard to Strategic Demerger its online business.".
GLOBE · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Globe Textiles (India) Limited has announced a strategic demerger of its online business, which includes the INDIGENX and ORIJEAN apparel brands, into a new company called Morabia Creation Limited. The Board approved the Scheme of Arrangement on July 11, 2025, with a proposed appointed date of April 1, 2025. The move is aimed at creating a focused online-focused entity to improve management efficiency and unlock shareholder value. Notably, the demerged online business contributed only Rs 20.77 lakhs (0.04%) to the company's total turnover in FY25. Shareholders of Globe Textiles will receive shares in Morabia Creation Limited in a specified entitlement ratio — there is no cash consideration, and promoters will not retain control in the new entity. The demerger is subject to NCLT, SEBI, shareholder, and creditor approvals. For FY25, the company reported total income of Rs 561 crores (up 18% YoY) and net profit of Rs 10 crores (up 11% YoY).
The online business being demerged is negligible in revenue terms (0.04% of turnover), so the immediate financial impact on Globe Textiles is minimal. However, shareholders will receive shares in a separately listed entity (Morabia Creation Limited), which could provide some value unlocking if the new entity attracts investor interest. Approval-related risks (NCLT, SEBI) remain, and the loss of promoter control in the new entity is worth noting.