Marico to acquire remaining 46% stake in True Elements
The deal will make the Pune-based packaged foods company a fully-owned subsidiary of Marico, which earlier invested in HW Wellness to acquire 53.98% in May 2022.
Homegrown FMCG products maker has announced the acquisition of the remaining 46.02% shares of HW Wellness Solutions, which owns the True Elements brand.
This will be done for a consideration of "up to Rs 138 crore" towards the acquisition of the balance 46.02% equity stake in HW Wellness, Marico said in a regulatory filing.
The deal will make the Pune-based packaged foods company a fully-owned subsidiary of Marico, which earlier invested in HW Wellness to acquire 53.98% in May 2022.
"The company has now entered into a definitive agreement to acquire the balance 46.02% of paid-up share capital of HW Wellness from its Founders and other shareholder(s) as per the terms and conditions agreed thereunder," it said.
According to Marico, the strategic investment in HW Wellness has led to scaling its presence in healthy breakfast and snacking categories and accelerating its digital transformation journey by adding another digital-first brand with a strong and differentiated proposition to its portfolio.
Marico expects the acquisition of the balance 46.02% equity stake in HW Wellness will be completed on or before September 30, 2025, subject to satisfaction of the terms and conditions of the definitive agreement.
HW Wellness Solutions' turnover in FY25 was Rs 164.38 crore.
Shares of Marico on Friday settled at Rs 734.60 on BSE, up 0.05%.
Edited by Affirunisa Kankudti