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The long-awaited demerger of Kolkata-based diversified conglomerate ITC ’s hotel business will come into effect today. The tobacco-to-hotel conglomerate has fixed January 6 as the record date for the spin off of its hotels business. ITC shares traded ex- demerger after splitting its hotel business into ITC Hotels , unlocking shareholder value. Analysts expect ITC Hotels listing by February 2025, citing benefits like operational focus, higher dividends, improved growth metrics, and strategic investor alignment for both entities. The demerger , effective January 6, 2025, creates a standalone entity for ITC ’s hospitality division, allowing both ITC and ITC Hotels to pursue distinct growth trajectories. As a part of the demerger splitting ITC Hotels into an individual entity, ITC has allotted 125.11 Crores equity shares of ₹1 each to its shareholders, post a board meeting held on 11th January 2025.
