Picture this: You run one of the world’s largest manufacturers of graphite electrodes — massive, ultra-dense carbon rods used in electric arc furnaces to melt scrap steel. It is a cash-generating business, but it comes with a heavy caveat: it is deeply cyclical and closely tied to global steel demand.

At the same time, under the exact same corporate roof, you are quietly building a futuristic energy storage and advanced battery materials business. You are scaling synthetic graphite anodes for electric vehicles, developing graphene applications, and expanding renewable energy assets.

When investors look at your stock, they face a dilemma: Are they buying a traditional commodity manufacturer or a high-growth clean-tech story?

To eliminate this classic conglomerate discount, the LNJ Bhilwara Group executed a restructuring playbook through a Composite Scheme of Arrangement to split HEG Ltd. into two independent, publicly traded entities.

The Master Plan: Two Pure-Play Stories

  • HEG Graphite Limited (to be renamed HEG Limited): The legacy graphite electrodes business is carved out into a pure-play commodity company led by industrial veteran Ravi Jhunjhunwala. It focuses entirely on electric steelmaking and industrial graphitization.
  • HEG Advanced Materials Limited (formerly HEG Limited): The original listed entity retains the high-tech battery materials platform, spanning synthetic graphite anodes, silicon-based anodes, and graphene research, alongside energy storage assets. To provide balance sheet depth and steady cash flows, unlisted group hydro-power firm Bhilwara Energy Limited (BEL) was amalgamated directly into it. Riju Jhunjhunwala steps up as Chairman, MD, and CEO to lead this platform.

The Transaction Structure & Swap Ratios

  • Demerger Ratio: Existing HEG shareholders receive shares in the ratio of 1:1, i.e., 1 equity share of HEG Graphite Ltd (₹2 FV) for every 1 share held in HEG (₹2 FV).
  • Amalgamation Ratio: BEL shareholders receive an 8:7 swap ratio, 8 equity shares of HEG (₹2 FV) issued for every 7 shares held in Bhilwara Energy Ltd (₹10 FV).

Key Timelines & Regulatory Milestones

  • NCLT Approval: Sanctioned by the Indore Bench on August 13, 2026.
  • Effective Date: The scheme became legally effective on September 1, 2026.
  • Name Change Certificate: ROC Gwalior issued the official certificate renaming the listed entity to HEG Advanced Materials Limited on September 2, 2026.
  • Record Date: Fixed for September 7, 2026, to determine eligible shareholders for the 1:1 allotment.
  • Listing Timeline: HEG Graphite Limited is expected to list separately on the BSE and NSE within ~45 days of the Record Date (mid-to-late October 2026).

Leadership Focus

  • Ravi Jhunjhunwala takes full charge of the pure-play graphite electrodes company (HEG Graphite Ltd) as Chairman, MD & CEO while retaining a Non-Executive board seat on the Advanced Materials entity.
  • Riju Jhunjhunwala assumes the role of Chairman, MD & CEO of HEG Advanced Materials Ltd on a 5-year tenure to steer the battery materials and energy transition mandate.

Demergers of this nature isolate distinct business risk profiles. By untangling mature cash-cow commodity assets from capital-intensive clean-tech ventures, HEG allows market participants to choose their target exposure: pure-play cyclical industrial cash flows on one hand, or long-term energy transition growth on the other.