ITC to Acquire Healthy Snacks Brand Yogabar
ITC to Acquire Healthy Snacks Brand Yogabar

ITC to acquire a 100 percent stake in Bengaluru-based healthy snack company Yoga Bar. The tobacco-to-food conglomerate will acquire 100 percent of Yoga Bar’s parent company Sproutlife Foods Private Limited (SFPL) over a period of 3 to 4 years.

The company said that it will acquire a 47.5 percent stake in SFPL, in tranches, by March 31, 2025. ITC will Invest Rs 175 crore for the acquisition of a 39.4 percent stake, which is to be completed by February 15, 2023, and will further infuse Rs 80 crore for the remaining 47.5 percent stake, by March 31, 2025.

While the purchase of the balance stake will be done on the basis of pre-defined valuation criteria, within 3 months from the date on which SFPL will provide audited financial statements for the financial year ending on March 31, 2026.

The investment is in line with the ‘ITC Next’ strategy articulated by its Chairman Sanjiv Puri which focuses on building a future-ready portfolio of products that serve evolving consumer needs. With this acquisition, ITC aims to fortify its healthy foods portfolio which includes products such as aashirvaad multi-grain atta, aashirvaad nature’s super foods, farmlite range of biscuits, sunfeast protein shake, and B natural nutrilite ABC beverage among others.

In line with the strategy to augment the company’s future-ready portfolio, the proposed acquisition will strengthen and expand its reach with innovative food products for health-conscious consumers,” ITC said.

Hemant Malik, Divisional Chief Executive, The Foods Division, ITC said, “We believe that this investment is an exciting opportunity that aligns with ITC’s Foods Business’ aspiration to build a formidable portfolio in the nutrition-led healthy foods space.

Yoga Bar was founded in 2015 by sisters Suhasini and Anindita Sampath, who were the largest shareholder of the company with a 49 percent stake. The healthy snacks startup recorded a turnover of Rs 68 crore in 2021-22, Rs 39 crore in 2020-21, and Rs 32 crore in 2019-20. It sells products such as protein bars, muesli, peanut butter, whey protein, and gluten-free oats.

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