CCI Approves Lence Pte. Ltd.’s Plan to Raise Stake in AWL Agri Business Ltd

The deal has been termed a "Proposed Combination" under India’s competition law framework and required clearance from CCI under the provisions of the Competition Act, 2002.

In a significant development in the Indian fast-moving consumer goods (FMCG) and agri-business sector, the Competition Commission of India (CCI) has granted approval to Lence Pte. Ltd., a subsidiary of Wilmar International Limited, to acquire up to 20% additional stake in AWL Agri Business Limited (formerly known as Adani Wilmar Limited). The strategic move would allow the acquirer to increase its existing shareholding to a majority stake of up to 63.94% in the company.

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Overview of the Proposed Deal

The transaction involves Lence Pte. Ltd. acquiring a minimum of 11% and up to a maximum of 20% of the paid-up equity share capital of AWL Agri Business Limited (referred to as "the Target"). Currently, Lence Pte. Ltd. already holds 43.94% of the company’s equity. With this acquisition, its total stake could increase to a range between 54.94% and 63.94%, effectively giving it majority ownership and enhanced control over business operations.

The deal has been termed a "Proposed Combination" under India’s competition law framework and required clearance from CCI under the provisions of the Competition Act, 2002. After examining the market impact and competitive landscape, the CCI gave the green signal, indicating that the acquisition does not raise any adverse competition concerns in India.

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About the Acquirer: Lence Pte. Ltd. and Wilmar Group

Lence Pte. Ltd. is a wholly-owned subsidiary of Wilmar International Limited, a Singapore-based agribusiness conglomerate and a key player in global edible oils, oilseed crushing, sugar milling and refining, specialty fats, and consumer food products.

The Wilmar Group, through various affiliates, operates a globally diversified supply chain. Although it does not have a direct business footprint in India, Wilmar's presence in the Indian market is established through:

• AWL Agri Business Limited (formerly Adani Wilmar)

• Shree Renuka Sugars Limited (SRS) — which is engaged in sugar milling, refining, and sales

The proposed acquisition is aligned with Wilmar’s broader strategy to strengthen its footprint in India's high-growth agri-FMCG space, leveraging both backward integration in agriculture and forward integration in branded consumer products.

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About AWL Agri Business Limited

Previously known as Adani Wilmar Limited, AWL Agri Business Limited is a major player in India’s FMCG and essential commodities sector. The company operates in four key business verticals:

• Edible Oils (its flagship brand "Fortune" is a household name)

• Food Products including wheat flour, rice, pulses, and soya nuggets

• FMCG Products like personal care items, soaps, and detergents

• Industry Essentials including oleochemicals, castor oil, and packaging materials

AWL has a wide distribution network across India and is one of the few companies that enjoy a pan-India presence in both the agri-commodities and consumer-packaged goods segments.

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Strategic Implications of the Deal

This acquisition signals Wilmar’s increasing confidence in the Indian consumer market, especially in rural and semi-urban segments, where consumption of packaged food and essential products is growing rapidly. The move is also likely to:

• Boost Wilmar’s decision-making power within AWL

• Enable deeper alignment of AWL’s operations with Wilmar’s global strategies

• Strengthen AWL’s supply chain capabilities through Wilmar’s international network

• Enhance access to capital, technical know-how, and international best practices

Furthermore, the increase in Wilmar’s ownership could pave the way for more innovation in product offerings, supply chain efficiencies, and brand expansion, especially in India’s underpenetrated markets.

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CCI's Role and Assessment

The Competition Commission of India (CCI) evaluated the transaction to ensure that it does not lead to any appreciable adverse effect on competition (AAEC) in the relevant markets. The CCI’s approval reflects its assessment that:

• The combined market share of the parties involved is not dominant to a level that harms competition

• There is adequate competition in the edible oils, FMCG, and industrial products sectors

• Consumers are unlikely to suffer due to this consolidation

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Strengthening India's FMCG Landscape

With the deal now cleared, Lence Pte. Ltd. is poised to take a more prominent role in shaping the future of AWL Agri Business Limited. For Wilmar International, this is not just a stake increase—it is a strategic deepening of its long-term commitment to India’s dynamic consumption economy.

The move comes at a time when global FMCG giants are eyeing India as a major growth market, and domestic firms are also consolidating to expand product portfolios and logistics capabilities. The AWL-Wilmar partnership, now stronger than ever, is likely to be a key player in shaping the evolution of India’s agribusiness and packaged goods sectors in the coming decade.