Marico Limited has entered into definitive agreements to acquire a 93.27% stake in Zea Maize Private Limited, the company behind the gourmet snacking brand ‘4700BC’. The acquisition aims to bolster Marico’s presence in the value-added foods category. The transaction is expected to close within 30 days, subject to customary conditions.
Acquisition of Zea Maize
Marico Limited has announced a strategic investment in Zea Maize Private Limited, the owner of the gourmet snacking brand 4700BC. Marico will acquire a 93.27% stake from PVR INOX Limited. The company intends to leverage this acquisition to expand its presence in the value-added foods sector.
Deal Details
The aggregate consideration for the acquisition of the 93.27% stake is up to Rs. 226.83 Crores. After 3 years, Marico also retains the right to acquire the remaining stake in Zea Maize, subject to pre-defined milestones.
Strategic Rationale
The acquisition aligns with Marico’s strategy to participate in fast-growing food categories. The brand 4700BC is known for its gourmet popcorn and innovative snack offerings. Marico plans to leverage its existing scale in foods to broaden 4700BC’s presence across channels.
4700BC Performance
Zea Maize Private Limited was incorporated on July 24, 2013. Here is the turnover of the brand 4700BC for the past three fiscal years:
FY 2024-25: Rs. 98.66 crores
FY 2023-24: Rs. 75.29 crores
FY 2022-23: Rs. 48.47 crores
Management Commentary
Saugata Gupta, MD and CEO of Marico Limited, stated that the investment aligns with Marico’s ambition to participate in fast-growing food categories through distinctive brands. He expressed confidence in 4700BC’s potential as a premium snacking brand.
Source: BSE
