Bombay Dyeing share jumps 16%: What's driving the rally?
What's the story
Bombay Dyeing's share price skyrocketed by 16% on Wednesday after reports emerged of Jehangir Wadia's return to the family-run business. The stock opened at ₹167.51, up from Tuesday's close of ₹165.13, and hit an intraday high of ₹189.15 on the BSE today. Jehangir, son of Wadia Group chairman Nusli Wadia, is said to be focusing on modernizing operations and exploring new growth opportunities for the company.
Business transformation
Jehangir's strategy involves transforming Bombay Dyeing into real estate company
Jehangir's strategy involves transforming Bombay Dyeing from a traditional textile brand into a consumer-oriented real estate company. The Wadia family is also exploring new business opportunities, with an initial plan to leverage land assets owned by the family and group companies. There are even plans for future collaborations with external landowners. "The Bombay Dyeing name must remain relevant for the next generation," Jehangir told ET.
Asset divestment
The Wadia Group has been slowly divesting its land assets
The Wadia Group has been slowly divesting its land assets. In September 2024, Century Textiles and Industries Ltd, part of the Aditya Birla Group, acquired ownership rights to a nearly 10-acre leasehold land parcel in Worli from the Wadia Group for ₹1,100 crore. Earlier in August 2024, Bombay Dyeing sold a 22-acre land parcel in Worli to Sumitomo Realty's subsidiary Goisu Realty for ₹5,200 crore as part of its debt reduction efforts.