The issue price is Rs 382 per security, and 44 investors are participating in this issue, including promoters and existing prominent shareholders
Tilaknagar Industries, an Indian-Made Foreign Liquor (IMFL) manufacturer, has informed that its Board of Directors has approved a preferential issue of securities (equity shares and warrants) amounting to Rs 2,296 crore. The issue price is Rs 382 per security, and 44 investors are participating in this issue, including promoters and existing prominent shareholders.
The company intends to utilise the proceeds raised through the preferential issue towards the acquisition of the Imperial Blue business division (IB) and general corporate purposes. This equity issue, along with the proposed debt fundraise, will ensure an optimal financing mix for the acquisition of IB.
In a regulatory filing, the company said, “The promoter group is actively participating in the issue with Amit Dahanukar, Chairman and Managing Director of TI, subscribing to warrants worth Rs 306 crore, demonstrating strong support for the issue and the above-mentioned acquisition.”
This fundraise reflects strong investor confidence in the company’s long-term vision and potential, it added in its statement. French spirits giant Pernod Ricard has agreed to sell its mass-market whisky brand Imperial Blue to Indian liquor firm Tilaknagar Industries for Rs 4,150 crore, as it sharpens its strategic focus on premium labels and more profitable segments in India, its second-largest market globally.
The transaction will be a significant reshuffling in India’s alcohol industry. Pernod Ricard said the sale would be “immediately and meaningfully accretive” to its Indian unit’s operating margin and net sales growth. The deal is expected to close in the coming months.
