Tilaknagar Industries to acquire Imperial Blue from Pernod Ricard at valuation of Rs 4,150 crore

New Delhi: Home-grown alcoholic beverage maker Tilaknagar Industries Ltd (TIL) on Wednesday announced that it will acquire the Imperial Blue whisky business from the Indian arm of French liquor giant Pernod Ricard at an enterprise value of 412.6 million Euros (around Rs 4,150 crore).

The acquisition will make TIL, which owns brands such as Mansion House Brandy, Courrier Napoleon Brandy, Mansion House Gold Whisky and Blue Lagoon Gin, a leading player in the fast-growing whisky market.

Both parties -- TIL, an Indian-Made Foreign Liquor (IMFL) manufacturer, and Pernod Ricard India -- have entered into a definitive agreement for the transaction related to the sale of Imperial Blue business division (IB), according to separate statements issued by both companies.

According to TIL, it is acquiring the Imperial Blue business from Pernod Ricard India (PRI) "via slump sale at an enterprise value of 412.6 million Euros (around Rs 4,150 crore)".

The consideration includes a deferred payment of 28 million Euros (Rs 282 crore as on date), to be paid four years after the date of the closure of the transaction, said a joint statement.

Imperial Blue is the third-largest whisky brand in India by volume. It has reported a revenue of Rs 3,067 crore for the year ended March 2025.

"The proposed transaction includes acquisition of the Imperial Blue, with 22.4 million 9-litre cases sold in the year ended March 2025 across India and other markets, including two owned units and services from co-manufacturing bottlers across India," it said.

According to TIL, one of the primary objectives with regard to the acquisition of Imperial Blue Business Undertaking is to "create a pan India IMFL business".

"The acquisition marks the company's foray into Indian whisky segment," it said.

The transaction is expected to be completed in a six-month period. However, it remains subject to regulatory approvals, such as from the Competition Commission of India.

According to TIL, the acquisition of Imperial Blue will act as a "launchpad for a significant whisky premiumisation journey", enabling it to build a strong whisky portfolio across premium price-points.

"Having achieved leadership in the brandy segment, it is now time for us to broaden our portfolio and cater to India's diverse and evolving consumer base," said TIL chairman and managing director Amit Dahanukar.

Pernod Ricard said the sale of the Imperial Blue whisky business will strengthen its portfolio, enabling its focus on "premiumisation trends and support sustained, profitable growth".

"As Pernod Ricard's second-largest market, India is a strategic priority, and this realignment improves the ability to capitalise on the country's strong macroeconomic fundamentals and long-term potential. Upon closing, the transaction is expected to be immediately and meaningfully accretive to Pernod Ricard India's operating margin and net sales growth rate," said the French spirits maker.

Pernod Ricard chairman and CEO Alexandre Ricard said the sale of the Imperial Blue business division is a strategic move to sharpen focus on more profitable and faster-growing brands in India.

"This transaction represents a win-win for all stakeholders involved, both at the global and local level. It fuels our ambition to succeed even further in one of our top markets," he said.

India is the second-largest market of Pernod Ricard. With a consolidated sales revenue of Rs 26,773.22 crore in FY24, Pernod Ricard India is the largest spirit maker in India, followed by its global rival, British multinational alcoholic beverage company Diageo, which now owns United Spirits Limited.

"It will also enable the company to allocate resources more effectively toward high-growth brands such as Royal Stag, which has already surpassed the 30-million cases milestone, Blenders Pride, and international brands like Chivas, Jameson, Absolut, and Ballantine's," said PRI CEO Jean Touboul.

Tilaknagar Industries had reported a revenue of Rs 1,405 crore and EBITDA of Rs 226 crore for the year ended March 2025. In the September quarter, it had become net debt-free, after successfully restructuring its debt.