New Delhi, July 24 -- Tilaknagar Industries Ltd, an Indian manufacturer of foreign liquor that sells the Mansion House Brandy, has agreed to acquire the 25-year-old Imperial Blue brand of whiskies from Pernod Ricard India Pvt Ltd for €412.6 million (about Rs 4,150 crore or $486 million).
The transaction, subject to approvals by the Competition Commission of India, will include a deferred payment of €28 million (Rs 282 crore as on date) that will be paid four years from now, Tilaknagar said in a statement.
The Indian company said the acquisition "fast-tracks" its entry into the whisky segment, a large market for Indian-made foreign liquors. Tilaknagar will use Imperial Blue as a launchpad for building its premium whisky portfolio, it said. The acquisition includes two owned units and services from co-manufacturing bottlers across India.
"While we continue to grow our business organically, this strategic acquisition allows us to enter the whisky category with one of the country's most trusted and admired brands," said Amit Dahanukar, chairman and managing director, Tilaknagar.
Imperial Blue competes with the likes of United Spirits Ltd's McDowell's No.1 and Allied Blenders and Distillers Ltd's Officers' Choice brands. In the year ended March 2025, Imperial Blue sold 22.4 million 9-litre cases in India and other export markets, making it the third largest whisky brand in India by volume, the company statement said.
The Imperial Blue division reported revenue of Rs 3,067 crore for the year ended March. Back-of-the-envelope calculations show that deal values the division around 1.35 times its annual revenue.
Imperial Blue is one of the mass-market brands sold by the Indian division of French spirit and wine manufacturer Pernod Ricard. Its premium brands include Absolut vodka, Ricard pastis, Ballantine's, Chivas Regal, Royal Salute, and The Glenlivet Scotch whiskies, Jameson Irish Whiskey, Martell cognac, Havana Club rum, Beefeater gin, Malibu liqueur, and Mumm and Perrier-Jouet champagnes.
Pernod Ricard chairman and CEO Alexandre Ricard said in a separate statement the sale would sharpen the French company's "focus on more profitable and faster growing brands in India, as in the rest of the world".
Jean Touboul, CEO of Pernod Ricard India, said the sale would allow the company to allocate resources towards high-growth brands such as Royal Stag and Blenders Pride, as well as international brands like Chivas, Jameson, Absolut, and Ballantine's.
Tilaknagar Industries will raise debt and equity to finance the transaction. In 2024-25, Tilaknagar's revenue was Rs 1,405 crore compared with Rs 1,394 crore the year before. Its EBITDA was Rs 226 crore for the year ended March 2025.
Deutsche Bank and Avendus Capital were financial advisors on the transaction, while Avendus Capital served as the exclusive financing arranger to Tilaknagar Industries. Crawford Bayley & Co. and W.S. Kane & Co. acted as legal counsels, while Deloitte served as the diligence advisor to Tilaknagar Industries.
Published by HT Digital Content Services with permission from VC Circle.