Avanti Feeds has incorporated a new subsidiary in Ecuador and acquired a 10% stake in the entity, marking its entry into the South American aquaculture feed market. The company, Avanti Feeds Limited, confirmed the incorporation of Thai Union Feedmill Ecuador S.A.S. on September 4, 2026.

The listed feed manufacturer disclosed the transaction under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was issued on September 8, 2026, following communication received via email regarding the successful incorporation.

Transaction Details

Avanti Feeds subscribed to shares in the new entity at a par value of $1 per share. The target entity, Thai Union Feedmill Ecuador S.A.S., is based in Ecuador, South America. It is proposed to engage in aquaculture feed manufacturing and distribution in the region.

Strategic Context

This incorporation follows a previous disclosure by Avanti Feeds dated April 1, 2026. The new entity is not classified as a related-party transaction, and no promoter or group company interest was reported in the target. No governmental or regulatory approvals were required for this specific acquisition step.

What the Numbers Show

The acquisition involves a minimal initial capital outlay given the $1 par value per share for a 10% holding. As the entity has yet to commence business operations, its turnover is currently not applicable. This structure suggests a phased approach to establishing operational presence in Ecuador, with revenue generation expected only after business activities begin.

Avanti Feeds management has guided for 5.85 lakh MT in feed sales and approximately 19,000 MT in shrimp exports for FY27. The company also plans a ₹175 crore capital expenditure in the pet food segment.

Key targets for FY27

The company has outlined its operational and investment goals across its core business verticals. The following table summarises the announced targets:

Strategic focus on pet food

The planned ₹175 crore capital expenditure signals Avanti Feeds' intent to expand its presence in the pet food business. This allocation represents a distinct diversification alongside its established shrimp feed and seafood export operations.

Shrimp exports and feed business

The target of approximately 19,000 MT in shrimp exports complements the feed sales goal of 5.85 lakh MT for FY27, reflecting the company's continued emphasis on both upstream feed production and downstream seafood processing and export activities.