FMCG firm Emami to acquire remaining 73.5% stake in Axiom Ayurveda

Emami will acquire full control of Axiom Ayurveda in a phased deal exceeding Rs 300 crore, strengthening its presence in health, wellness and the fast-growing beverage segment

Kolkata-headquartered fast-moving consumer goods (FMCG) firm Emami has executed a definitive agreement to acquire the remaining 73.5 per cent stake in Axiom Ayurveda, makers of “Alofrut”, enabling it to take full control of the company.

 

In the first tranche, Emami acquired an additional 36.7 per cent stake, bringing its total stake to 63.2 per cent.

 

While the definitive agreement was executed on Wednesday, the acquisition is expected to be completed in a phased manner over the next three months, in accordance with the terms of the agreement and applicable regulatory requirements, the company said.

 

The transaction size for the 73.5 per cent stake, as approved by the Emami board, is an aggregate consideration not exceeding ₹200 crore. Including the earlier stake purchase, the total size of the acquisition would be in excess of ₹300 crore.

 

Axiom’s portfolio includes beverage products under the brand AloFrut, health juices under Axiom Jeevan Ras, and beauty products under Mukti Gold.

 

Harsha Vardhan Agarwal, vice chairman & managing director, Emami Ltd said, the company’s growth strategy is centred on building presence in emerging, high-opportunity categories that align with evolving consumer preferences, particularly in the health and wellness space. “Our partnership with Axiom over the past two-and-a-half years has provided us with valuable insights and strengthened our conviction in this segment.”

 

“With the completion of the acquisition, we bring Axiom fully into the Emami fold, marking our formal entry into the fast-growing and huge beverage segment,” he added. Axiom is a profitable company and expected to achieve a top line of around ₹180 crore in FY26.

 

Agarwal added that this aligned with the company’s strategy of leveraging multiple growth levers, where strategic investments in new-age, synergistic segments complemented the core businesses to drive future growth.

 

Speaking to Business Standard, Agarwal said the company was evaluating investing in more new-age digital-native brands and companies. “We are always evaluating the right opportunity at the right price.”

 

Rishabh Gupta, founder, Axiom Ayurveda, said Emami was the right partner to take Axiom into its next phase of growth.

 

The company has taken onboard Harkirat Bedi (formerly vice president and business head at Dabur Nepal) as the Chief Executive Officer of Axiom Ayurveda.