The demerger of Spencer's Retail from RP-Sanjiv Goenka Group's flagship company CESC ltd to unlock its value hinges upon break-even of the retail chain, a top official said.
"Demerger issue will be taken forward after we register profit," Group's sector head-retail, Shashwat Goenka told the news agency. When asked when the retail chain was expected to post break-even, Goenka said, "Very soon," without giving any timeline adding that targets are internal. Pathik Retail, the holding company of Spencer's was merged with CESC in 2007 to leverage the balance sheet of the the power utility to fund the expansion plan. Spencer's officials were expecting to post profit onwards of third (Oct-Dec) quarter of 2013-14.