NHC Foods Limited has approved the acquisition of controlling stakes in Lotmor Brands Private Limited and Walya’s Beverages Private Limited. The deal, priced at Rs. 6.50 per share, aims to expand NHC Foods’ presence across the food and beverage value chain. The acquisitions are expected to strengthen procurement and distribution capabilities, contributing to a broader business platform.
NHC Foods Expands Food and Beverage Portfolio Through Strategic Acquisitions
NHC Foods Limited announced today its approval of strategic investments to acquire controlling stakes in two key food and beverage companies: Lotmor Brands Private Limited and Walya’s Beverages Private Limited. This move signifies a major step in NHC Foods’ strategy to build a more comprehensive food and beverage platform.
Key Acquisition Details
Under the proposed transactions, NHC Foods will acquire up to 88% stake in Lotmor Brands and up to 80% stake in Walya’s Beverages. The acquisition consideration can be settled either in cash or through the issuance of NHC Foods equity shares at a price of Rs. 6.50 per share. The final price may be subject to adjustments as per SEBI ICDR Regulations after six months. These acquisitions are anticipated to enhance NHC Foods’ procurement and distribution infrastructure, complementing its existing business operations.
Company Overviews and Synergies
Lotmor Brands Private Limited, established in 2018, brings a robust food and beverage business with expertise in trading and manufacturing. It recorded a turnover of Rs. 2.46 crore in FY23 and Rs. 2.60 crore in FY24, with Rs. 1.80 crore in FY25. Its positive cash flows and established operations are expected to provide valuable capabilities for NHC Foods’ expansion.
Walya’s Beverages Private Limited, incorporated in 2021, is involved in the manufacturing, trading, wholesaling, import, and export of food and beverage products. After registering no turnover in FY23, the company reported Rs. 0.71 crore in FY24 and Rs. 0.22 crore in FY25. This acquisition will broaden NHC Foods’ product range and market presence.
Strategic Rationale and Market Position
Mr. Satyam Shirishchandra Joshi, Managing Director of NHC Foods Limited, stated, “Our approach with these proposed acquisitions is to build on what we already have rather than operate these businesses in isolation. We are looking to bring complementary businesses into the NHC Foods ecosystem and create stronger linkages between sourcing, processing, distribution and the end market.”
The Indian carbonated beverage market is projected to reach ₹2.0 Lakh Crore by FY 2027-28, growing at an 11% CAGR. NHC Foods’ strategic positioning through these acquisitions is expected to capitalize on this market growth. Lotmor Brands already has a significant presence across more than 20 states, reaching over 22,000 retail outlets.
Leadership and Financial Strength
In conjunction with the acquisitions, the Board has appointed Mr. Suryakant Dhondu Walavalkar as Additional Director, designated as Executive Director. Walavalkar, who brings over 28 years of experience, is the Founder and Managing Director of Lotmor Brands. NHC Foods has also recently enhanced its capital base through a Rs. 53.76 crore preferential issue of convertible warrants and the conversion of 19 Foreign Currency Convertible Bonds into equity shares.
The company reported a significant improvement in financial performance in Q1 FY27, with consolidated net profit rising 924% year on year, driven by higher revenue and volumes.
Source: BSE
