Macrotech Developers Stock Price: On January 22, shares of real estate company Macrotech Developers saw a fall of up to 7%. According to a report by CNBC-TV18, company CEO Abhishek Lodha has filed a case in the Bombay High Court against his younger brother Abhinandan Lodha. There has been a demand to stop Abhinandan Lodha from using the brand name ‘Lodha’ or ‘Lodha Group’. Moneycontrol had accessed Abhishek Lodha’s petition on January 20. In this, the High Court has been demanded to stop Abhinandan Lodha from selling, advertising or marketing goods or services similar to those offered by Macrotech.
Legal news website Bar & Bench reported that the case was initially scheduled to come up before a single judge bench on Tuesday, but it was sent to a larger bench citing jurisdiction. Macrotech’s counsel argued that the case involved a loss of more than Rs 100 crore. The website quoted Macrotech’s lawyer as saying that Justice Arif Doctor has agreed to hear the case on January 27.
How did the controversy start?
The dispute began in 2015, when the Lodha brothers divided the real estate empire of their father Mangal Prabhat Lodha. This was formalized through a family agreement in 2017. As per that agreement, Abhishek remained in the real estate business under the Macrotech brand, while Abhinandan was to look after a new business unrelated to real estate.
The lawsuit filed by Abhishek Lodha states that despite this, Abhinandan entered the real estate business, first doing plot business and then promoting his company as ‘House of Abhinandan Lodha’. Younger brother Abhinandan Lodha said that his company has a registered trademark and the legal team will give a suitable reply before the court.
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Abhinandan did not follow the agreements
Abhishek’s petition states that under the agreement between the two brothers, a non-compete clause prevents Abhinandan from entering the real estate business in the Mumbai Metropolitan Region and Greater London for some time. Yet, Abhinandan has not followed these agreements. Macrotech also alleged that Abhinandan infringed the trademark ‘Lodha’, which is in violation of another agreement on the use of the identity.
How famous are Macrotech Developers?
Macrotech Developers is a listed real estate developer with presence in Mumbai Metropolitan Region, Pune and Bengaluru. The market cap of the company is more than Rs 1 lakh crore. On January 22, the share reached a low of Rs 1064.90 on BSE. The stock has fallen 21 percent in 2 weeks. By the end of December 2024, promoters held 71.98 percent stake in the company. The board of Macrotech Developers will announce its December 2024 quarter results on Saturday, January 25.
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