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Why Did ABFRL Shares Tank 67% Overnight? The Real Story Behind the Demerger Drama

ABFRL shares fell 67% on May 22, 2025, as part of a planned demerger of its Madura Fashion & Lifestyle business into a new company — Aditya Birla Lifestyle Brands Ltd (ABLBL). The drop reflects stock adjustment, not value erosion. Shareholders now hold stakes in both ABFRL and ABLBL. This article unpacks what really happened, how it impacts investors, and what to expect from both companies in the future.