Britannia enters into JV with Bel, to sell 49% stake in Britannia Diary | Mint – Mint

Britannia Industries Limited on Tuesday announced that it has entered into a joint venture agreement with French company Bel SA, and Britannia Dairy Private Limited (BDPL) to develop, manufacturing, marketing, distribution, trading and selling, of cheese products in India and certain territories.

As a part of the joint venture, Britannia shall sell 49 per cent of its equity stake in Britannia Dairy Pvt Ltd to Bel SA for 262 crore in accordance with the terms of Share Purchase Agreement entered between them.

“BDPL will become a Joint Venture Company (‘JV Company’) of Britannia and Bel in India which will carry out/undertake the cheese business in the Territory. Further, as a part of the JVA, BDPL will allot equity shares to Britannia and Bel, in accordance with the terms of the Share Subscription Agreement entered between Britannia, Bel and BDPL, on 29th November 2022,” the company said in its regulatory filing.

As an effect of this transfer, Bel shall hold 49 per cent of BDPL and the balance 51 per cent shall continue to be held by Britannia.

Britannia Dairy Private Limited turnover for FY21-22 was at 340 crore, which includes cheese turnover of 207 crore, while the net worth of BDPL as on 31 March, 2022 was 130 crore.

Wadia Group-backed Britannia Industries hit a new 52-week high on Tuesday tracking broad-based buying in FMCG stocks. Britannia climbed more than 2 per cent and crossed the 4,300 mark. Britannia shares have jumped by nearly 19 per cent year-to-date.

Britannia Industries posted 28 percent year-on-year growth in consolidated net profit at 490 crore for the quarter ended September 2022 while consolidated revenue from operations jumped 21 percent YoY to 4,379.61 crore.

The scrip on Tuesday was trading 1.31 per cent higher at 4,269.65 at BSE.

 

Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.

More
Less

Leave a Comment