In a bid to pare debts, Kesoram to hive off tyre division as Birla Tyres

The 7.5 million tonne cement business of the company will remain with Kesoram Industries post this demerger

Targeting to rope in a strategic partner or a private equity player to rescue its stressed tyre business, Kesoram Industries, the flagship of B K Birla Group of companies, has decided to spin off the tyre division altogether into a separate company – Birla Tyres.

“It would be much easier for us to rope in a private equity or a strategic partner once the tyre vertical is turned into a separate company which will focus on tyres”, P Radhakrishnan, chief financial officer at Kesoram Industries said.

The 7.5 million tonne cement business of the company will remain with Kesoram Industries