 "power sector, electricity, power transmission")
A nod from equity shareholders last weekend takes the demerger scheme of CESC’s businesses a step ahead and this will help unlock value. Together with improving prospects for most of the company’s business segments, it indicates better days for the stock’s price.
The demerger of CESC’s power distribution, generation, retail and other ventures such as information technology (IT) is directed towards streamlining of operations and, more importantly, enhancing focus of each business. Analysts said these ventures were unrelated in nature and led to stronger businesses such as power distribution getting lower valuation multiples.
While the power distribution business continues to
