Kolkata-based liquor and marine products firm IFB Agro Industries Ltd on Tuesday said that its board of directors has given approval to the proposal of the sale of its Indian Made Foreign Liquor (IMFL) brands to Tilaknagar Industries Ltd, makers of brandy brands Mansion House and Courrier Napoleon.
Earlier this month, the board of Tilaknagar Industries had given in-principle approval to acquire, either directly or through one of the subsidiaries of the company, the complete IMFL business of BSE-listed IFB Agro Industries.
The acquisition is expected to help Tilaknagar Industries diversify its portfolio as well as strengthen its presence in eastern India, and also bring IFB Agro's vodka brand Volga and Blue Lagoon gin—two of the most popular brands in Assam, West Bengal and Odisha—under its fold.
IFB Agro Industries is engaged in the business of manufacturing and marketing of extra neutral alcohol, IMFL, bottling of branded alcoholic beverages as well as processed and packed marine foods both for domestic & export markets.
The IMFL division of IFB Agro has two manufacturing units in Kolkata. The division owns brands like Leonov, Volga, Russki (vodka) Goldcup, Benjamin (brandy), Jubilation (Rum), Blue Lagoon (Gin), 3 Cheers (Whisky) and Baluba (Rum). It also bottles brands such as Smirnoff for Diageo for eastern region and other brands for United Spirits, now partly owned by Diageo.
During the quarter ended on December 31, 2013, IFB Agro posted revenues of Rs 129 crore with net profit of Rs 9.03 crore. Around 60 per cent of its revenues come from liquor and spirits business.
IFB Agro scrip closed at Rs 207.85 per share, down 2 per cent on the Bombay Stock Exchange from its previous close.
(Edited by Joby Puthuparampil Johnson)