ITC to acquire additional stake in Delectable Technologies

ITC has entered into definitive agreements to acquire a further 2,286 equity shares of Rs 10 each of Delectable Technologies (Delectable), an associate company, subject to completion of agreed conditions precedent. The said shares, once acquired, will take the Company’s shareholding in Delectable from 33.42% to 39.32% (on a fully diluted basis).

The said acquisition will, inter alia, further strengthen the presence of ITC’s FMCG products in the emerging distribution channel of vending machines. The share acquisition is expected to be completed within 30 days from the date of execution of the definitive agreements (viz. Share Subscription Agreement and Amended and Restated Shareholders’ Agreement) or such other date as may be mutually agreed between the Parties.

Today, on October 19, the company will also be coming with its financial results for the quarter ended September 30, 2023. The company may declare its results at any time during the day.

Established in 1910, ITC has business interests in cigarettes, hotels, paperboards and speciality papers, packaging, agribusiness, packaged foods and confectionery, information technology, branded apparel, personal care, stationery, safety matches and other FMCG products.

At 10:30 am, the shares of ITC Ltd were trading at Rs 452.25, slightly up by 0.16% from its previous closing of Rs 451.55 on the BSE.

On Thursday, the stock opened at Rs 450 and touched a high and low of Rs 454.55 and Rs 449.60, respectively.

The BSE group ‘A’ stock of face value of Rs 1 has a 52-week high and low of Rs 499.60 and Rs 325.35, respectively. Last one week high and low of the scrip stood at Rs 458.00 and Rs 446.40 respectively. The current market cap of the company is Rs 563061.79 crore.

The Institutions and Non-Institutions held 85.31% and 14.69% stake respectively in the company.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.