Godrej Agrovet Acquires Full Stake in Creamline Dairy for Rs 930 Crore

Godrej Agrovet is set to acquire the remaining 48.06% stake in Creamline Dairy Products for Rs 930 crore, making the dairy a wholly-owned subsidiary. The acquisition, expected to be finalized by September's end, follows a share purchase agreement with Creamline's original promoters.

In a strategic move, Godrej Agrovet announced on Tuesday its decision to acquire the residual 48.06 percent stake in Hyderabad-based Creamline Dairy Products for Rs 930 crore. This acquisition will transform the milk procurement and processing company into a wholly-owned subsidiary of Godrej Agrovet, the company confirmed in an exchange filing.

The acquisition plan, which includes the signing of a share purchase agreement for a 47.38 percent equity stake from Creamline's original promoters, represents Godrej Agrovet's continued interest in the dairy segment. Currently, Godrej Agrovet holds 51.94 percent of Creamline, a company renowned for producing and selling milk products under the 'Godrej Jersey' brand.

The transaction, valued at Rs 930 crore, is scheduled for completion by the end of September 2024. Godrej Agrovet's shares, however, experienced a dip, closing 1.35 percent lower at Rs 735.65 on the BSE.

(With inputs from agencies.)