Sapphire Foods India Limited has made the audio recording of its merger announcement conference call available to investors and analysts on its website. The company informed stock exchanges that the recording of the joint call with Devyani International Limited regarding their merger announcement is now accessible on the company's investor relations portal.

Regulatory Compliance and Disclosure

The company filed the disclosure with both major stock exchanges, fulfilling its obligations under SEBI regulations:

The disclosure was signed by Company Secretary and Compliance Officer Sachin Dudam, ensuring proper regulatory compliance for the merger-related communications.

Background: Major QSR Merger Details

The merger between Sapphire Foods and Devyani International represents one of the largest consolidations in India's quick service restaurant sector. The comprehensive amalgamation involves a strategic share swap arrangement:

The Sapphire board has approved a secondary sale of 18.50% stake in Sapphire Foods by Sapphire Foods Mauritius to Devyani Promoter Arctic International, which will occur prior to the scheme becoming effective.

Investor Access and Transparency

The availability of the conference call recording demonstrates the company's commitment to transparency during this significant corporate restructuring. Investors and analysts can now access detailed discussions about the merger rationale, expected synergies, and strategic benefits of the consolidation.

This development in India's quick service restaurant landscape is expected to create a stronger combined entity with enhanced market presence and operational efficiencies across multiple QSR brands and formats.

Devyani International shares will be in focus following the announcement of a mega merger with Sapphire Foods India, creating India's largest Yum! Brands franchisee. The boards of both companies have approved the scheme of arrangement that will consolidate operations of key KFC and Pizza Hut operators into a single powerhouse in the quick-service restaurant space.

Merger Structure and Enhanced Terms

The merger involves Sapphire Foods India Limited as the transferor company and Devyani International Limited as the transferee company. Under the approved share-swap mechanism, shareholders of Sapphire Foods will receive 177 equity shares of Devyani International for every 100 equity shares held. The transaction has received approval from Yum! Brands with enhanced commercial terms including long-term waivers and the acquisition of 19 KFC stores operated by Yum! in Hyderabad.

Combined Entity Scale and Financial Impact

The merger creates significant scale benefits with the combined entity operating over 3,000 stores across India. Devyani International will pay a one-time charge for merger approval and territorial license expansion, positioning itself as Yum!'s largest franchisee in the Indian market.

Strategic Benefits and Synergies

The merger is expected to unlock significant operational benefits including cost efficiencies through economies of scale, stronger vendor negotiations, and margin expansion through productivity gains. The combined entity anticipates annual synergy benefits of ₹210.00-225.00 crore beginning from the second year of integration.

Regulatory Approvals and Timeline

The merger remains subject to customary regulatory approvals from stock exchanges, the Competition Commission of India, the National Company Law Tribunal, and shareholders and creditors of both companies. The completion timeline is set at 12-15 months from the effective date, with Arctic International acquiring an 18.50% stake in Sapphire Foods' paid-up capital from existing promoters as part of the transaction.