Lux Industries Limited has officially announced the incorporation of its new wholly owned subsidiary, Lux and Cozi Limited. Established on May 22, 2026, the new entity will focus on the manufacturing and trading of garments, including hosiery products. This strategic move is part of a broader corporate restructuring initiative linked to a Family Settlement Agreement aimed at facilitating the upcoming demerger of the company’s business verticals.
Strategic Business Incorporation
As part of its organizational growth strategy, Lux Industries Limited has successfully incorporated a new wholly owned subsidiary, Lux and Cozi Limited. The subsidiary received its official certificate of incorporation on May 22, 2026. The new entity is capitalized with 250,000 equity shares, each having a face value of ₹2, totaling an investment of ₹500,000.
Rationale Behind the Move
The creation of this subsidiary is a direct result of a Family Settlement Agreement reached between members of the Todi family, who are part of the company’s promoter group. The primary objective is to streamline the operations of the organization by facilitating the proposed demerger of the company’s existing business, specifically identified as Vertical A. This alignment is expected to help the company focus more efficiently on its core manufacturing and trading of garment and hosiery products.
Governance and Leadership
The new entity will be managed under the guidance of key leadership figures, including Mr. Ashok Kumar Todi (Promoter) and Mr. Saket Todi (Promoter Group and Executive Director), both of whom have been appointed as Directors on the board of Lux and Cozi Limited. As a wholly owned subsidiary, the company maintains 100% control over the newly formed entity.
Source: BSE
