The BM Khaitan-led Williamson Magor Group has mandated Kotak Mahindra Bank to find a strategic partner for its flagship Eveready Industries India Ltd (EIIL), a dry cell batteries and flashlights major, and is seeking a company valuation of Rs 3,000-4,000 crore, industry sources said Friday.
The Williamson Magor Group, however, is yet to decide if it will retain a controlling or a minority stake after Eveready’s restructuring, sources said. It would depend on final negotiations, they added. The Khaitans presently hold 45 per cent stake in the company. Of late, the management of Eveready Industries has been trying to convert itself into an FMCG company by diversifying into new areas such as electrical products, small appliances and lighting by following an “asset-light” model.
The Williamson Magor Group consists of the worlds largest bulk tea producer McLeod Russel, Kilburn Engineering and McNally Bharat. McLeod Russel has also been divesting many of its tea estates in India. The Khaitans acquired Eveready brand from Union Carbide Corporation in the early 1990s.