Against JK House sale to Raymond promoters: Gautam Hari Singhania

Ahead of Raymond's AGM next week to consider sale of JK House to its promoters and extended family at 'throwaway' prices, its CMD Gautam Hari Singhania on Friday said his personal opinion would be to vote against the resolution.

Last week, proxy advisory firm Institutional Investor Advisory Services (IiAS) had red-flagged the proposal saying Raymond's promoters and their extended family are trying to buy the premium property in Mumbai from the company at throwaway rates which will result in loss of over Rs 650 crore to the company and its shareholders.

"...As a related party I am required to abstain from voting on this resolution. However, my personal opinion would be to vote against the resolution in interest of the shareholders and company," Raymond Chairman and Managing Director Gautam Hari Singhania said in a statement. "Raymond is committed to protect shareholders interest..In the interest of all shareholders including minority shareholders, I would like to reinstate the fact that the company is taking all appropriate measures to safeguard the interests of stakeholders," he added.

Following the IiAS warning last week, Raymond stock came under huge selling pressure, but later recovered. The company said IiAS' report is based on incorrect and incomplete information, and not understood in correct manner.