Prakash Industries to demerge PVC business into separate entity

The PVC pipe business contributes nearly 10% to the company's total income

Steel and PVC (polyvinyl chloride) pipe manufacturer Prakash Industries is planning to demerge its business to allow the resultant entities to grow independently with their own focused vision, strategies and operations.

Under the demerger scheme, the company would demerge the PVC pipe business into a separate entity with a focused vision for growth, the company said in a BSE filing.

The PVC pipe business contributes nearly 10 per cent to the company's total income. Of the total income from operations posted at Rs 520.70 crore for the quarter ended December 31, 2016, Prakash Industries reported Rs 55.66 crore contribution from the PVC pipe segment.