Emami Ltd to Acquire Full Stake in Axiom Ayurveda for Up to ₹200 Crore

Original: Emami Ltd to acquire 100% stake in Axiom Ayurveda in deal worth up to ₹200 crore

The Economic Times•Apr 2, 20262 min

In a Nutshell

Emami Ltd, based in Kolkata, is acquiring a 100% stake in Axiom Ayurveda Pvt Ltd for up to ₹200 crore, enhancing its presence in the health and wellness beverage market. The deal, involving the purchase of the remaining 73.5% stake, is expected to close within three months, pending regulatory approvals.

Key Points

01Emami Ltd is acquiring Axiom Ayurveda for up to ₹200 crore.
02The acquisition will give Emami full control of Axiom's aloe vera-based beverage brand, AloFrut.
03Emami has already increased its stake in Axiom to 63.2% prior to this deal.
04Axiom is projected to achieve a revenue of around ₹180 crore in FY26.
05This acquisition aligns with Emami's strategy to enter high-growth health and wellness categories.

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Full Summary

Emami Ltd, a Kolkata-based consumer goods company, is set to acquire a 100% stake in Axiom Ayurveda Pvt Ltd for up to ₹200 crore. This acquisition marks Emami's entry into the health and wellness beverage sector, particularly focusing on Axiom's aloe vera-based products, including the popular AloFrut brand. Emami has already acquired a 36.7% stake in Axiom, increasing its total ownership to 63.2%, with plans to purchase the remaining 73.5% stake in the coming months, subject to regulatory approvals. The deal is expected to close within three months. Axiom Ayurveda is projected to generate a revenue of approximately ₹180 crore in FY26, highlighting its growth potential. Emami's Vice Chairman and Managing Director, Harsha Vardhan Agarwal, emphasized that this acquisition aligns with their strategy to tap into emerging categories that cater to evolving consumer preferences for healthier beverages.

Key Figures

₹200 crore

Total value of the acquisition

₹180 crore

Projected revenue for Axiom in FY26

36.7%

Percentage of stake already acquired by Emami

73.5%

Remaining stake to be acquired by Emami

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Why It Matters

This acquisition allows Emami to diversify its product offerings and capture a growing market segment focused on health and wellness beverages, potentially leading to increased job opportunities and product availability in this sector.

Who is affected

Consumers seeking healthier beverage options and employees in the health and wellness industry.

What to know

Consumers interested in healthier beverage alternatives should look for Axiom's products in the market.

FAQ

The total value of the acquisition is up to ₹200 crore.

The acquisition is expected to close within three months, pending regulatory approvals.

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