The Godrej Group, a multi-billion-dollar conglomerate spanning real estate to consumer products, will split into two entities after an amicable settlement among the family that runs the 127-year-old business. This move involves untangling cross-holdings held by family members across group companies and dividing businesses and assets between patriarch Adi Godrej and his cousin Jamshyd Godrej.
Statements released by the group's listed companies to exchanges on Tuesday evening revealed that the promoters – Adi, Nadir, Jamshyd Godrej, and Smita Godrej Crishna, heads of the respective family branches, have reached a consensus on a family settlement agreement (FSA) and a brand & non-compete agreement.
Godrej Group company value and worth
The Godrej Group claims to serve 1.2 billion consumers globally. As per the closing prices on Tuesday, the Godrej family's stake in the five listed companies is valued at Rs 1.53 trillion, with a combined market capitalisation of Rs 2.44 trillion.
Here is a look at the group’s history.
Swadeshi origins of Godrej Group
The beginning lies in 1897 when Ardeshir Godrej, a lawyer-turned-entrepreneur, set out to manufacture indigenous locks. This was a first for the nation, which was still under British colonial rule.
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Prior to his venture, India imported locks. Ardeshir Godrej's decision to pioneer locally-made locks not only revolutionised security solutions but also symbolised the spirit of self-reliance.
These locks were introduced to the market in 1901. However, during this time British owned newspapers refused to carry advertisements of the locks. A report by The Week in 2023, noted, "British-owned papers refused to carry advertisements objecting to the phrase ‘as good as imported variety’. Only Indian papers like Kesari, Tribune and Bombay Samachar carried his advertisement (he later donated Rs 3 lakh to The Tilak Swaraj Fund in memory of Kesari founder Bal Gangadhar Tilak). Posters were put up at eating houses, railway stations and meeting houses. By 1902, he had used his expertise of the impregnable to create safes.
By 1908, the company had patented the world's first springless locks. Some 10 years later and before launching popular soap brand Cinthol, Godrej once again revolutionised the market by creating the world's first vegetable oil soap.
Nearly 10 years later, Godrej group once again revolutionised the market by creating the world's first vegetable oil soap. "We launched Chavi, the first soap in the world to be made without animal fat. We score not only for Swadeshi, but also ahimsa," the company says on its official site.
With 'Swadeshi' as the company's early motto, products produced by Godrej were endorsed by freedom fighters and notable figures including Annie Besant and Rabindranath Tagore, who encouraged the public to embrace Indian manufactured goods and remove reliance from imported goods.
Mahatma Gandhi, in a letter to a favour-seeking competitor, once wrote, "I hold my brother Godrej in such high regard that if your enterprise is likely to harm him in any way, I regret very much that I cannot give you my blessings."
The company would go on to sell furniture, which included steel almirahs with in-built safes that became a common gift for newly-wed couples.
Ballot boxes for India's first elections
India's first general elections were a historic moment for Godrej, which was commissioned to make 1.7 million ballot boxes.
Delve in property and real estate
It was not until 1990, that the group expanded away from consumer goods to property and real-estate, establishing Godrej Properties. The following year, the company incorporated its agri-business Godrej Agrovet, which was publicly listed on the BSE and NSE in 2016.
Beyond financial success, the Godrej Group has also remained committed to social responsibility through its Good & Green strategy. Approximately 23 per cent of the promoter holding is invested in trusts supporting environmental, health, and education initiatives.
Beyond financial success, the Godrej Group has also remained committed to social responsibility through its Good & Green strategy. Approximately 23 per cent of the promoter holding is invested in trusts supporting environmental, health, and education initiatives.
Godrej leadership structure
Members of the Godrej family make up the top management of the group.
At the helm of this is Adi Godrej, 82, who is the chairman emeritus of the Godrej Group. He used to also be the chairman of Godrej Industries, the holding company of the Godrej Group, before stepping down in 2021.
Under the terms of the FSA, the Godrej Industries Group (GIG), encompassing listed companies such as Godrej Industries, Godrej Consumer Products, Godrej Properties, Godrej Agrovet, Astec Lifesciences, Innovia Multiventures Private Limited, Godrej Seeds and Genetics, and Anamudi Real Estates, along with their subsidiaries and joint ventures, will be chaired by Nadir Godrej. The group will be controlled by Nadir and Adi Godrej and their immediate families. Pirojsha Godrej, son of Adi Godrej, is slated to assume the role of executive vice chairperson of GIG, succeeding Nadir Godrej as chairperson in August 2026.
Jamshyd N Godrej joined the company board on October 7, 1974 after completing his graduation in mechanical engineering from the Illinois Institute of Technology, USA. Jamshyd Godrej has been serving as the chairman & managing director of Godrej & Boyce. He will continue as chairman and MD at Godrej Enterprises Group (GEG), with Nyrika Holkar as executive director.
GEG will comprise unlisted entities such as Godrej & Boyce Manufacturing Company, Godrej Holdings Private Limited, Godrej Infotech Limited, and their subsidiaries and joint ventures, along with RKNE Enterprises.
Jamshyd Godrej and Adi Godrej, have both been awarded the Padma Bhushan for contributing to the growth of India’s industries in 2003 and 2013, respectively.
According to Forbes, in 2024, Jamshyd Godrej and Adi Godrej have a net worth of $3.8 billion, each.