Don't see any dubious intention behind AB Group rejig: Aberdeen

Although surprised with restructuring of the AB Group, Hugh Young, Managing Director of Aberdeen Asset Management Asia, which holds close to 6 percent in Grasim Industries, says the rejig does not come across as having been done with any dishonourable intentions by the management.

Speaking to CNBC-TV18 on implications of the restructuring, Young said investors are worried Grasim already being the holding company is trading at huge discount and that could further increase post the deal.

Young said the fund will now try to understand the management’s philosophy and long-term objectives behind the decision and then take a call on whether to increase or cut stake in Grasim. However, it is not considering switching over to other cement companies for the time being, he said.Transcript to follow....