Authum Investment & Infrastructure Limited Acquires 42.33% Stake in Prataap Snacks Limited

February 26, 2025

Key Highlights:​

• Acquirer: Authum Investment & Infrastructure Limited (NSE: AIIL)
• Target: Prataap Snacks Limited (NSE: DIAMONDYD)
• Acquired Stake: 42.33% of PSL’s voting share capital
• Transaction Value: ₹764.56 crore
• Mode of Acquisition: Share Purchase Agreement (SPA) and Open Offer
• Regulatory Approval: Cleared by the Competition Commission of India (CCI)
• Consideration: Entirely cash-based

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Acquisition Details​

Authum Investment & Infrastructure Limited (AIIL) has successfully completed the acquisition of 1,02,48,709 equity shares of Prataap Snacks Limited (PSL), representing 42.33% of its voting share capital. The acquisition was executed through:

1. Open Offer: 127 equity shares acquired at ₹865.66 per share.
2. Share Purchase Agreement (SPA): 1,02,48,582 equity shares acquired at ₹746 per share.

This transaction, totaling ₹764.56 crore, positions PSL as an associate company of AIIL.

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Financial Performance of PSL​

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Strategic Rationale​

AIIL aims to diversify its portfolio by investing in high-growth and stable sectors. PSL, a leading Indian snack food manufacturer, aligns well with this vision. PSL produces potato chips, extruded snacks, and namkeen, with operations primarily in India.
AIIL’s Statement:

“This acquisition aligns with our long-term strategy of diversifying our portfolio while investing in sectors that demonstrate both stability and growth potential. Our intention is to nurture and expand this business, maximizing value creation for all stakeholders and ensuring a sustainable, profitable future for the company.”

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Market Impact & Future Outlook​

• Strengthened Position in FMCG: AIIL’s entry into the snack food market diversifies its business and enhances growth prospects.
• Potential for Expansion: AIIL may explore new product lines, geographical expansion, and brand strengthening within PSL.
• Investor Sentiment: The acquisition signals AIIL’s strategic intent and long-term growth vision.

Completion Date: February 25, 2025
With a strong financial base and a growth-oriented strategy, AIIL’s acquisition of PSL marks a significant move in India’s FMCG and investment landscape.