Godrej Agrovet Limited (GAVL), a subsidiary of Godrej Industries Limited (GIL), has announced that Temasek, an investment company based in Singapore, has entered into a definitive agreement to acquire a 19.99% stake in GAVL for a consideration of Rs. 572 crore.
The investment will be a combination of primary and secondary investment with the primary investment intended to support GAVL’s future expansion plans.
Nadir Godrej, Chairman of GAVL, said: “Godrej Agrovet has been a tremendous source of value creation for GIL and continues to be on a strong revenue and profit trajectory, while delivering excellent returns on capital employed. Indian agriculture is at an inflection point and with GAVL’s focus on R&D and operational excellence, we believe that the future looks very bright for the business.”
Balram Singh Yadav, Managing Director of GAVL, added: “We remain steadfastly focused on our mission to improve the productivity of Indian farmers through innovative products and services that sustainably increase crop and livestock yields. We are aggressively expanding rural distribution, increasing our manufacturing capacities, and launching cutting edge technologies for farmers. We look forward to partnering with Temasek to further accelerate our performance.”
GAVL is a diversified agribusiness company dedicated to improving the productivity of Indian farmers by innovating products and services that sustainably increase crop and livestock yields. Its poultry business, best known for the Real Good Chicken and Yummiez brands, is a JV with Tyson Foods (USA). Godrej Agrovet has 45 manufacturing facilities, a network of over 10,000 rural distributors/dealers, and over 2,000 employees dedicated to improving India’s food security.