Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings.

CRISIL Ratings (CRISIL) has taken note of the announcements/disclosures made by various entities of the Godrej Group primarily pertaining to the Family Settlement Agreement (FSA) and the Brand & Non-Compete Agreement (BNCA), both dated April 30, 2024, entered into between members of the Godrej family.

CRISIL has outstanding ratings on various entities of the Godrej group (listed below).

Among these CRISIL rated entities (as specified in the table below) and as per the FSA, Godrej & Boyce Manufacturing Company Ltd will become a part of the Godrej Enterprises Group (GEG), to be managed and controlled by Mr. Jamshyd N. Godrej (JNG) and Ms. Smita Vijay Crishna (SVC) and their immediate relatives, while the rest of the CRISIL rated entities (specified in the table below) will become a part of the Godrej Industries Group (GIG), to be managed and controlled by Mr. Adi Burjorji Godrej (ABG) and Mr. Nadir Burjorji Godrej (NBG) and their immediate relatives  No change in the executive management of any of these entities is proposed.

Further, as part of the FSA, shareholding in various entities held by the Godrej family members would be realigned on the effective date of the FSA post receipt of necessary regulatory approvals. Additionally, the BNCA records the understanding of the family members with respect to delineation of the rights for adoption, use, ownership and registration of the Godrej brand as well as non-compete obligations for the family members.

The ratings of these entities are driven by the strength of their individual business and financial risk profiles as well as strong financial flexibility being part of the Godrej Group. CRISIL, basis discussions with the management of key group entities, is of the view that the developments in relation to the execution of the FSA and BNCA are not expected to impact the credit risk profiles of these entities.

CRISIL understands from the management that none of the group entities are a party to the FSA and no shares of the listed entities of the group are likely to be pledged by the promoters/promoter group to give effect to the FSA.

For accessing the Rating Rationale of the companies, refer to the following links:

Note for Media:
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About CRISIL Ratings Limited (A subsidiary of CRISIL Limited, an S&P Global Company)

CRISIL Ratings pioneered the concept of credit rating in India in 1987. With a tradition of independence, analytical rigour and innovation, we set the standards in the credit rating business. We rate the entire range of debt instruments, such as bank loans, certificates of deposit, commercial paper, non-convertible/convertible/partially convertible bonds and debentures, perpetual bonds, bank hybrid capital instruments, asset-backed and mortgage-backed securities, partial guarantees and other structured debt instruments. We have rated over 33,000 large and mid-scale corporates and financial institutions. We have also instituted several innovations in India in the rating business, including ratings for municipal bonds, partially guaranteed instruments and infrastructure investment trusts (InvITs).
 
CRISIL Ratings Limited ('CRISIL Ratings') is a wholly-owned subsidiary of CRISIL Limited ('CRISIL'). CRISIL Ratings Limited is registered in India as a credit rating agency with the Securities and Exchange Board of India ("SEBI").
 
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About CRISIL Limited

CRISIL is a leading, agile and innovative global analytics company driven by its mission of making markets function better. 

It is India’s foremost provider of ratings, data, research, analytics and solutions with a strong track record of growth, culture of innovation, and global footprint.

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CRISIL Ratings uses the prefix 'PP-MLD' for the ratings of principal-protected market-linked debentures (PPMLD) with effect from November 1, 2011, to comply with the SEBI circular, "Guidelines for Issue and Listing of Structured Products/Market Linked Debentures". The revision in rating symbols for PPMLDs should not be construed as a change in the rating of the subject instrument. For details on CRISIL Ratings' use of 'PP-MLD' please refer to the notes to Rating scale for Debt Instruments and Structured Finance Instruments at the following link: https://www.crisil.com/en/home/our-businesses/ratings/credit-ratings-scale.html