CCI approves Tilaknagar Industries proposal to acquire Pernod Ricard's Imperial Blue biz

New Delhi, Oct 7 (PTI) Fair trade regulator CCI on Tuesday cleared home-grown alcoholic beverage maker Tilaknagar Industries' proposal to acquire the Imperial Blue whisky business from the Indian arm of French liquor giant Pernod Ricard for Rs 4,150 crore.

The development came after Tilaknagar Industries Ltd (TIL) in July announced that it will acquire the Imperial Blue whisky business from the Indian arm of Pernod Ricard at an enterprise value of 412.6 million Euros (around Rs 4,150 crore).

The Competition Commission of India (CCI) said on Tuesday it has approved the acquisition of Imperial Blue whisky business of Pernod Ricard India by Tilaknagar Industries Ltd.

"Commission approves the acquisition of the business of production, bottling, marketing, and sale of alcoholic and other beverages under the 'Imperial Brands' from Pernod Ricard India Pvt Ltd by Tilaknagar Industries Ltd," the regulator said in a post on X.

The acquisition will make TIL, which owns brands such as Mansion House Brandy, Courrier Napoleon Brandy, Mansion House Gold Whisky and Blue Lagoon Gin, a leading player in the fast-growing whisky market.

Both parties -- Indian-Made Foreign Liquor (IMFL) manufacturer TIL and Pernod Ricard India -- have entered into a definitive agreement for the transaction related to the sale of Imperial Blue business division (IB), according to separate statements issued by both companies.

According to TIL, it is acquiring the Imperial Blue business from Pernod Ricard India (PRI) "via slump sale at an enterprise value of 412.6 million Euros (around Rs 4,150 crore)".

The consideration includes a deferred payment of 28 million euros (Rs 282 crore as on date) to be paid four years after the date of the closure of the transaction, said a joint statement.

Imperial Blue is the third-largest whisky brand in India by volume. It has reported a revenue of Rs 3,067 crore for the year ended March 2025.

India is the second-largest market for Pernod Ricard. With a consolidated sales revenue of Rs 26,773.22 crore in FY24, Pernod Ricard India is the largest spirit maker in India, followed by its global rival, British multinational alcoholic beverage company Diageo, which now owns United Spirits Ltd.

Tilaknagar Industries had reported a revenue of Rs 1,405 crore and EBITDA of Rs 226 crore for the year ended March 2025. In the September quarter, it had become net debt-free, after successfully restructuring its debt.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace. PTI HG HG BAL BAL