Adani Wilmar (AWL), an Indian FMCG company, known for its household brand ‘Fortune’, has signed a definitive agreement to acquire GD Foods Manufacturing (GD Foods), parent company of the brand ‘Tops’.
The acquisition will be executed in multiple tranches, with 80% of the shares to be acquired in the first tranche, and the remaining 20% to be acquired over the next three years. In FY’24, GD Foods achieved a revenue of Rs 386 crore, growing at a three-year CAGR of 15%, and recorded an EBITDA of Rs 32 crore.
This acquisition offers a strategic advantage by expanding Adani Wilmar’s portfolio with a broad range of value-added food products.
Founded in 1984, GD Foods’ owned brand “Tops” has built a strong reputation as a household brand in North India over the last 40 years, offering products in categories spanning across tomato ketchup, snack sauce, specialty sauces, and culinary sauces, jams, pickles, noodles, instant mixes, corn and choco flakes and cooking essentials such as vinegar, baking powder, cake mix, corn flour.
The acquisition is subject to meeting customary closing conditions, with the first tranche expected to close in 60 days. The transaction will be funded by internal accruals or IPO proceeds.
Commenting on the acquisition, Angshu Mallick, MD and CEO of Adani Wilmar, said, “As the market evolves, there is a clear need for trusted national food FMCG brands to deliver high-quality, affordable products that fulfill the essential needs of Indian kitchens. Delivering on this requires best-in-class manufacturing operations and a broad distribution reach, both of which are key strengths of AWL. The acquisition of GD Foods aligns with our vision and will significantly enlarge AWL’s offerings to meet the evolving needs of Indian households. With 8 new product categories added to our portfolio, we are laying a strong foundation to build a formidable presence in the value-added products market over time.”
Nitin Seth, Vice Chairman of GD Foods commented, “We are delighted to see ‘Tops’ become a part of AWL. For the past 40 years, we have remained committed to understand and meet the needs of Indian households through innovative products. Now, with AWL’s strength behind us, ‘Tops’ products will reach a much larger number of homes. We are confident that AWL will continue to delight customers and unlock the true potential of the brand.”
