Before the acquisition, Godrej Agrovet held a 51.94 per cent stake in the company which amounted to 58,81,508 shares
Making it a wholly owned subsidiary of the company, Godrej Agrovet has informed that its board of directors have approved the acquisition of the remaining 48.06 per cent equity stake in Creamline Dairy Products. The company added that the cost of the acquisition is Rs 930 crore.
The Board of Directors has also approved the execution of a share purchase agreement with the promoter group of Creamline Dairy Products (CDPL) for the purchase or acquisition of 47.38 per cent equity stake in CDPL, the company informed in an exchange filing.
Before the acquisition, Godrej Agrovet held a 51.94 per cent stake in CDPL which amounted to 58,81,508 shares. The company’s stake in CDPL will now increase to 100 per cent following the acquisition, amounting to 1, 13,24,700. The company has expected the transaction to be completed on or before 30 September 2025.
CDPL is principally engaged in milk procurement, processing of milk and manufacturing and selling of milk and milk products. The company stated that the acquisition will be a related party transaction (being a transaction with a related party of the subsidiary) and is done on an arm’s length basis.
CDPL is one of the leading private dairy companies in southern India and its products are sold under the brand name ‘Godrej Jersey. As far as the financial performance is concerned, CDPL’s consolidated turnover for the financial year 2023-24 stood at Rs 1,54,050.18 lakh. The same turnover in the fiscal 2022-23 was Rs 1,47,157.99 lakh.
