Indian fast-moving consumer goods company Patanjali Foods has received a proposal to buy the non-food business from Patanjali Ayurved, the company said in an exchange filing on Friday.
The board of directors of Patanjali Foods discussed the initial proposal received from Patanjali Ayurved.
“The board accorded its in-principle approval for evaluating the most efficient mode of enhancing synergies with PAL’s non-food portfolio in any manner on an arm’s length basis,” the release stated.
The non-food business of Patanjali Ayurved (PAL) will include personal care (including hair care, skin care, and dental care) and herbal home care (like agarbatti and pooja essentials) segments, a Patanjali official told Business Standard.
Patanjali Foods had acquired the biscuits business of Patanjali Natural Biscuits Private Limited in May 2021 for Rs 60.03 crore. The company also acquired the noodles and breakfast cereals business for Rs 3.50 crore in June 2021 and the food business in May 2022 for Rs 690 crore from Patanjali Ayurved Limited.
“The proposal received from PAL may offer synergies to the company’s product portfolio with an array of brands and contribute to growth in terms of revenue and EBITDA,” the release said.
First Published: Apr 26 2024 | 9:17 PM IST
