IFB Agro Industries Limited has successfully completed the acquisition of Cargill India Private Limited's entire commercial compound shrimp feed and freshwater fish feed business in India for Rs 110.00 crore. The deal, which marks a significant expansion in IFB Agro's aquaculture portfolio, was finalized on July 31, 2025.

Acquisition Details

The acquisition, executed through a Business Transfer Agreement dated May 30, 2025, includes:

• Feed formulations
• Assets
• Contracts
• Business undertaking liabilities
• Licenses and permissions
• Employees
• Two manufacturing facilities located in Vijayawada and Rajahmundry, Andhra Pradesh

The transaction was structured as a slump sale on a going concern basis, with the consideration subject to working capital and other agreed adjustments.

Strategic Expansion

Mr. Bikramjit Nag, Chairman of IFB Agro Industries, stated during the company's 43rd Annual General Meeting that this acquisition aligns with the vision of their late Founder and Chairman, Mr. Bijon Bhushan Nag. The move is expected to significantly boost IFB Agro's presence in the fish and shrimp feed market.

The acquired business reported an annual turnover of Rs 353.00 crore as of March 31, 2025. IFB Agro plans to leverage the spare capacity available at the acquired facilities to further grow its fish and shrimp feed business.

Operational Timeline

Financial Implications

The Rs 110.00 crore consideration was paid to Cargill India Private Limited through bank transfer on July 31, 2025. This strategic investment is expected to strengthen IFB Agro's position in the aquaculture sector and contribute to its future growth.

Company Performance

During the AGM, Mr. Nag also provided insights into the company's performance for the financial year 2024-25:

• The business showed improvement compared to the previous year, despite operating in a challenging environment marked by intense competition.
• The distillery operations were impacted by unprecedented rises in input raw material prices due to increased demand from ethanol manufacturers.
• The Indian Made Liquor (IML) business witnessed a shift in customer purchasing behavior due to significant increases in MRP over the last 2-3 years.

Corporate Governance Updates

In other company news, the AGM also approved the following:

1. Re-appointment of Mr. Arup Kumar Banerjee as Executive Vice Chairman for a further period of 2 years, effective July 30, 2025.
2. Appointment of M/s. LABH & LABH Associates as the Company's Secretarial Auditor for a period of 5 consecutive Financial Years from 2025-2026 to 2029-2030.

These strategic moves and corporate updates underscore IFB Agro Industries' commitment to growth and good governance as it expands its footprint in the aquaculture sector.

IFB Agro Industries Limited , a leading player in the Indian agro-industry sector, has successfully completed the acquisition of Cargill India Private Limited's entire commercial compound shrimp feed and freshwater fish feed business in India. The company also conducted its 43rd Annual General Meeting (AGM), addressing various business matters and shareholder concerns.

Acquisition Details

The acquisition, valued at Rs 110.00 crores, was executed through a Business Transfer Agreement. The deal encompasses:

• Feed formulations
• Assets
• Contracts
• Business undertaking liabilities
• Licenses and permissions
• Employees
• Two manufacturing facilities in Vijayawada and Rajahmundry, Andhra Pradesh

The transaction, structured as a slump sale on a going concern basis, was completed on July 31. IFB Agro Industries is set to commence operations at the acquired facilities from August 1.

Strategic Expansion

This acquisition aligns with the vision of IFB's late Founder and Chairman, Mr. Bijon Bhushan Nag, who passed away on January 28. The company's management sees this as a significant step towards realizing his dream of exponential growth in the feed business.

Mr. Bikramjit Nag, the current Chairman, stated, "Our Founder Chairman always wanted IFB to be in the business of manufacturing the best quality feed for farmers engaged in shrimp and fish farming. This acquisition is expected to help in further growth of our Fish Feed and Shrimp Feed business by utilizing the spare capacity available."

Financial Implications

The acquired business reported an annual turnover of Rs 353.00 crores as of March 31. The acquisition price of Rs 110.00 crores is subject to working capital and other agreed adjustments, as per the terms of the Business Transfer Agreement.

43rd Annual General Meeting Highlights

IFB Agro Industries Limited held its 43rd AGM on July 30, at Raajkutir Rangmanch, Kolkata. Key points from the meeting include:

1. Adoption of audited standalone and consolidated financial statements for the year ended March 31.
2. Re-appointment of Mr. Arup Kumar Banerjee as Executive Vice Chairman for a further period of 2 years.
3. Appointment of M/s. LABH & LABH Associates as Secretarial Auditor for a period of 5 consecutive Financial Years.

Business Performance and Challenges

The Chairman highlighted that while business performance improved compared to the previous year, the company faced several challenges:

• Distillery operations were impacted by unprecedented rises in raw material prices.
• The Indian Made Liquor (IML) business witnessed a shift in customer purchasing behavior due to significant MRP increases.
• Concerns were raised about alleged illegal interference by Excise Authorities at the district level.

Looking Ahead

With the completion of this strategic acquisition and the addressing of key business matters at the AGM, IFB Agro Industries Limited appears poised for growth in its aqua feed segment. The company's focus on expanding its feed business aligns with its late founder's vision and may contribute to its future performance in the agro-industry sector.

Shareholders and investors will be watching closely to see how this acquisition impacts the company's financial results and market position in the coming quarters.