The Board of Directors at their Meeting considered and approved the following: 1.The proposal to increase the Authorized Share Capital 2The acquisition of 100% of the Equity Share Capital ....
Awaiting price reaction for this filing.
Nagarjuna Agri Tech's board approved increasing the authorized share capital from Rs. 30 crore to Rs. 35 crore to fund acquisitions. The company will acquire 100% of Allenby Food & Beverages Pvt Ltd through a share swap valued at Rs. 144.74 crore, issuing 2.12 crore new equity shares at Rs. 68 each (a related party transaction, as promoter group is involved). It will also acquire 100% of Rafflesia Confectionary (bakery, Rs. 7.22 crore turnover) for up to Rs. 3 crore and 60% of Aarini Gourmet LLP (bakery, Rs. 3.31 crore turnover) for up to Rs. 3.75 crore. All acquisitions are in the food and beverages/bakery segment, marking a clear diversification into the FMCG and food retail space. An EGM has been scheduled to seek shareholder approval.
Existing shareholders will see significant dilution from the preferential issue of over 2.12 crore new shares, though the acquisitions bring in operating businesses (Allenby's turnover jumped from Rs. 66 lakh in FY24 to Rs. 52.96 crore in FY25). The moves signal a strategic pivot from the company's current agri-tech focus toward FMCG and food retail, which could re-rate the stock if execution succeeds but also raises dilution and integration risks.