Scrip of this consumer products company gained over 20 per cent when Sensex slumped
On Wednesday, the domestic benchmark indices ended in the negative territory on weak global cues. While Sensex plunged more than 400 points, with a majority of equities closing in red, the shares of the companies belonging to Godrej Group beat the odds.
The shares of Godrej Consumer Products gained more than 20 per cent per share on Wednesday, making a fresh 52-week high. The sudden jump was a result of the announcement made by the company, which stated that it has appointed Sudhir Sitapati as Managing Director and Chief Executive Officer of the company for five years w.e.f. October 18, 2021.
This decision was cheered by investors as Sudhir Sitapati has a rich experience of more than two decades at one of the industry leaders i.e. Hindustan Unilever Ltd wherein, he had assumed the role of Executive Director and Vice President for the foods & refreshment business.
It is generally believed that a new leader brings about a paradigm shift, driving significant shareholder value. Godrej Consumer Products has comparatively underperformed in the last few years and this move is expected to boost its growth.
Besides, the shares of Godrej Industries also gained around 9.32 per cent during today’s trading session.
On Wednesday, the shares of Godrej Consumer Products closed at Rs 874.80 per share, up by 22.19 per cent or Rs 158.85 per share.