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News Topical, Digital Desk : DSM Fresh Foods, listed last year and included in the BSE IPO index, is entering a new segment. The company, which operates under the Zappfresh brand, announced on Friday, January 2nd the acquisition of a 51% stake in Avyom Foodtech to enter the ready-to-eat food solutions segment. According to a company statement, the deal will be funded by DSM Fresh Foods through a cash infusion of approximately ₹7.5 crore. The acquisition will also help the company expand into overseas export markets.
What was announced? In a filing to the stock exchanges, the company stated that the board of DSM Fresh Foods has approved the acquisition of a 51% controlling stake in Avyom Foodtech. Established in 2022, Avyom Foodtech (formerly IEY Education) is engaged in the manufacturing, processing, and export of ready-to-eat and ready-to-cook food products. Its products include frozen foods, snacks, gravies, and sauces. The company also stated that, subject to board approval, it may explore the possibility of inducting external strategic investors by issuing new shares in Avyom Foodtech. According to the company, "This structure has been designed to ensure strong synergy between operating management and long-term capital partners, as well as to support the company's strategic growth objectives." The acquisition includes approximately five acres of land, a fully operational food processing facility, and associated plant and machinery. The transaction also includes assumed liabilities. Shares of DSM Fresh Foods closed down 2.53% at ₹140.50 on the BSE on Friday.
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