SKF India outlines demerger strategy and timeline

SKF India (BSE:SKFINDIA) has provided an update on its demerger strategy aimed at separating its Automotive and Industrial businesses into two independent, fit-for-purpose companies. The company anticipates completing the demerger process within 12 to 15 months, with the industrial business listing targeted for the end of Q4 2025. In FY2024, SKF India recorded revenues of INR4,570 million and an EBITDA margin of approximately 16%-17%. Capital expenditure of around INR150 crores is expected to continue annually between the two entities. The demerger will not adversely affect public shareholders; each shareholder will receive one share of SKF Industrial for each share of SKF India held. Post-demerger, the shares of SKF Industrial will be listed on both the National Stock Exchange and the Bombay Stock Exchange.