EID Parry to transfer Parryware

EID Parry (India) Ltd has informed that the board of directors of the company at its meeting held on October 20, 2005, has approved transfer of Parryware Business to a wholly owned subsidiary subject to various regulatory approvals (including approval of the shareholders of the company).

The company is also in talks with international players having expertise in sanitary and bathroom solutions to become a strategic partner in the wholly owned subsidiary.

D Kumaraswamy, chief financial officer, EID Parry India Ltd told Business Standard that the move to have the Rs 200-crore Parryware division spun off into a wholly owned subsidiary is with the objective of leveraging the boom happening in the construction industry.

On the expectation of the strategic partner, Kumaraswamy said it would be the transfer of technology upgradation and expertise. On the details regarding equity investment expected, he said it was too early to say anything about it. "We are still in the nascent stage of finding an international strategic partner."

The company will seek the approval of the shareholders through the process of postal ballot.