TTK Prestige Limited's arm to end JV with Horwood Life Ltd

TTK Prestige Limited has announced that its subsidiary Horwood Homewares Limited, UK (HHL) has entered into firm agreements to end the JV - Horwood Life Limited with Ecosoul life by divesting its 51% stake in the JV. This decision has been taken by HHL in the light of long-term uncertainty over supply-chain constraints. While there will be onetime impairment to the extent of GBP 869,000 in the books of HHL on account of this exit, HHL will be saving significant recurring overheads from second half of FY 21 thus improving its operating profits. HHL, on its own, is already in the process of building alternate supply chains (including India sourcing) for part of the products that were originally proposed to be sourced from the JV.

Given the size of the Subsidiary, the impact due to this exit will not be material with respect to sales revenue or to total assets / liabilities of the Subsidiary HHL and to that of the Company's consolidated financials.

Shares of TTK PRESTIGE LTD. was last trading in BSE at Rs.5821.2 as compared to the previous close of Rs. 5809. The total number of shares traded during the day was 587 in over 289 trades.

The stock hit an intraday high of Rs. 5894.8 and intraday low of 5808.15. The net turnover during the day was Rs. 3434552.

Source : Equity Bulls

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