Godrej Agrovet To Totally Purchase Creamline Dairy Merchandise

Godrej Agrovet Ltd. introduced on Tuesday that it will purchase the remaining 48.06% stake in Creamline Dairy Merchandise Ltd. for Rs 930 crore.

The transfer will make the Godrej Jersey model proprietor, which is likely one of the main non-public dairy firms in south India, Godrej Agrovet’s wholly owned subsidiary, in accordance with the corporate’s trade submitting.

The choice follows the approval by the Godrej Group firm’s board on Tuesday. Godrej Agrovet acknowledged that the target of the acquisition is to consolidate the corporate’s place in Creamline Dairy Merchandise.

The corporate will conduct the acquisition by a share buy settlement and pay your entire quantity in money for the remaining stake. Submit acquisition, Godrej Agrovet’s shareholding in Creamline Dairy Merchandise will improve from 58.81 lakh shares to 1.13 crore.

The acquisition of the Hyderabad-based milk procurement and processing firm is predicted to be accomplished on or earlier than Sept. 30, 2025, the disclosure added.

Creamline Dairy Merchandise is a associated occasion of the corporate, as Godrej Agrovet is its promoter and has an curiosity within the entity being acquired. Nonetheless, it added that the acquisition is finished on an arm’s size foundation.

The transaction is predicated on valuation report obtained for the aim and therefore on arm’s size foundation, the submitting added.

Within the monetary yr ended March 31, 2024, Creamline Dairy Merchandise’ turnover stood at Rs 1,540 crore. For the third quarter of the present monetary yr, Godrej Agrovet has posted a internet revenue of Rs 111.5 crore, a 21% rise from the Rs 91.8 crore revenue that it had reported in the identical interval the previous yr.

The corporate’s income for the quarter elevated by 4.5% to Rs 2,449.6 crore. Compared, the corporate had garnered Rs 2,345.2 crore income in the same interval final fiscal.

Shares of Godrej Agrovet closed 1.35% decrease at Rs 735.65 apiece on the BSE, in comparison with a 0.02% decline within the benchmark Sensex.

(With PTI inputs)