Kaveri seeds : Acquisition of 30% Equity Holding in Aditya Agritech Private Limited

Kaveri seeds : Acquisition of 30% Equity Holding in Aditya Agritech Private Limited


  • Acquisition of 30% Equity Holding in Aditya Agritech Private Limited by Kaveri Seed Company Limited
  • With reference to the above mentioned su$ecf the Board of Directors of the Company has approved the acquisition of the remaining 30% equity shares of Aditya Agritech Private Limited, a Company in which Kaveri Seed currently holds a70% stake. 
  • Upon completion of this transaction, Kaveri Seed Company Limited will hold 100% ownership, thereby making Aditya Agritech Private Limited its 100% \a/holly Owned Subsidiary. 
  • This strategic acquisition is aimed at enhancing operational synergies and expanding market reach. Full ownership will enable Kaveri Seed Company Limited to streamline decision-making, improve efficiency, and accelerate innovation in its product development and offerings.
  • The business of target entity is similar line of listed entity. 
  • The acquisition is aimed at enhancing business synergies, expanding market reach, and gaining full control for better strategic direction. 
  • The transaction results in Aditya Agri Tech Private Limited becoming a 100% wholly owned subsidiary of Kaveri Seed Company Limited. 
  • It aligns with the long-term value creation goals for investors and stakeholders.

I made three videos on Kaveri seeds in last one year and it is performing well since the time i posted videos on it:

https://www.youtube.com/watch?v=kEgoG9eEKM8

https://www.youtube.com/watch?v=Fffksar6zSI

https://www.youtube.com/watch?v=_PeTVm9QJYQ

Again impressed with the results in Q1

Check why?

  •   Exports continue to be strong. Presently exporting to Pakistan, Sri Lanka, Bangladesh and Vietnam
  • EBIDTA Margin (%) :  32.31 
  • PAT Margin (%) :  29.89 
  • As a part of rewarding shareholders, the company had successfully completed the buyback of Rs. 125.37 crore    

- Revenue from Operations was at ₹ 767.30 crore Vs  ₹ 731.95 crore in Q1FY23 (growth of 4.84%)

- EBITDA Margin improved to 36.37% from 33.89% in Q1FY23

-  Net Profit was at ₹ 267.84 crore as compared to ₹ 240.67 crore in Q1FY23; (growth of 11.29%) 

- Net Profit margin improved to 34.91% from 32.88% in Q1FY23

- Company focuses on growing exports to Bangladesh, Vietnam, Cambodia, Nepal and Middle East and exploring opportunities in East Africa and Philippines

- The profit for the quarter is equal to full year FY23

Marketcap: 3100 cr

Ratios are decent:

- PE10.57

- PB2.05

- ROE19.39



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