Shares of Integra Essentia jumped 4 per cent during the early trade on Thursday after the company announced plans to acquire Chateau Indage Winery assets near Pune for worth Rs 40 crore. The company is entering the wine business with this acquisition.
The New Delhi-based company in an exchange filing informed that the acquisition is in line with the vision to expand its footprint in the FMCG businesses. The Indian wine sector has become the fastest-growing alcoholic beverage category in the past decade, thanks in particular to the rise of upper-middle-class urban consumers, the company said.
Shares of Integra Essentia jumped about 4 per cent to Rs 7.12 on Thursday following the acquisition announcement. The scrip had settled at Rs 6.90 on Wednesday. Integra Essentia shares have delivered a return of more than 325 per cent in the last one year, whereas the stock is trading flat in the year 2022 so far.
The purchased assets are located in Narayangaon town of Pune, which has an optimum climate for grape cultivation. Narayangaon is known for its high-quality grapes. The assets include a land parcel of 58,612 square meters, buildings covering an area of 16,629 sqm and equipment including 60 lakh litres of stainless-steel storage among others.
Maharashtra contributes about 90 per cent of the total wine production in India, whereas Karnataka’s contribution is at 7 per cent. Goa and Himachal Pradesh represent the remaining 3 per cent of the output.
“The company is making every effort to strategically align all the components of the supply chain. The latest purchase of winery assets is one such step,” Vishesh Gupta, MD, Integra Essentia, said in a statement. He added that the acquisition of the new assets will make a significant contribution to the company’s revenue and bottom line.
Integra Essentia is engaged in the business of agro products, textiles and garments, infrastructure and energy.
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