Modi Naturals plans up to ₹100 crore FMCG acquisitions after NSE listing

Modi Naturals aims to acquire brands in ready-to-eat and healthy snacks as it grows its FMCG portfolio, saying its NSE listing will improve visibility, liquidity and investor reach

New Delhi-based fast-moving consumer goods company Modi Naturals is looking to acquire companies in the ready-to-eat or healthy snacks space, going up to Rs 100 crore, which will align with its brand strategy, joint managing director Akshay Modi told Business Standard.

 

Why is Modi Naturals looking at acquisitions now?

 

“After the GST (goods and services tax) correction, the packaged foods category is exploding, and we would like to look at it, preferably on the healthy foods side,” he said, following the company’s listing on the National Stock Exchange which he said would enhance the company’s visibility, liquidity and access to a wider investor base.

 

 

How does the company plan to balance its diverse businesses?

 

The company, which has operations across consumer goods, bulk edible oils and feeds, and alcohol and ethanol manufacturing, will focus on growing the FMCG business through organic and inorganic routes even as its ethanol production business grows on the back of high demand and local processing capabilities. The company invested Rs 100 crore in its subsidiary to expand its ethanol production capacities.

 

What role will the ethanol business play in funding FMCG expansion?

 

“The idea is to use the cash flows from the ethanol business for organic or inorganic growth in FMCG, and we have developed a niche in the blended olive oil market with Oleev,” Modi added.

 

What are the company’s financial projections for FY26?

 

For FY26, Modi Naturals has guided for revenue in the range of Rs 850–880 crore, up from FY25 revenue of Rs 663 crore, while EBITDA is projected at Rs 80–85 crore, up from Rs 56 crore and profit of Rs 42–48 crore, up from Rs 31 crore in FY25.