Adani Wilmar has announced its acquisition of GD Foods, the company behind the ‘Tops’ brand, in a two-phase transaction. The deal will see Adani Wilmar initially acquiring an 80% stake, with the remaining 20% to be purchased over the next three years.
The acquisition is expected to strengthen Adani Wilmar’s position in the fast-moving consumer goods (FMCG) sector by expanding its portfolio to include a wider range of processed and packaged food products. GD Foods, known for its offerings in sauces, pickles, spreads, and instant mixes, reported revenue of Rs 386 crore in FY24, reflecting a compound annual growth rate (CAGR) of 15% over the past three years. The company’s EBITDA for the same period stood at Rs 32 crore.
Headquartered in Delhi, GD Foods has a strong retail presence, particularly in North India, with its products available in over 1.5 lakh outlets. Nitin Seth, Vice Chairman of GD Foods, welcomed the deal, stating that the ‘Tops’ brand, which has been catering to Indian households for four decades, will now have a wider reach with the support of Adani Wilmar.
Adani Wilmar’s MD and CEO, Angshu Mallick, described the acquisition as a strategic move to strengthen the company’s value-added food segment. He highlighted that the addition of eight new product categories would enhance its offerings and help cater to evolving consumer preferences.
The transaction, which is subject to customary approvals, is expected to close within 60 days for the first tranche. Adani Wilmar will fund the deal using internal accruals or proceeds from its initial public offering (IPO).