Distillery Expansion Fuels Premium Spirits Push

Allied Blenders and Distillers has approved an additional capital contribution of up to ₹115 crore for its subsidiary, Minakshi Agro Industries LLP. This funding will establish a new malt distillery and maturation warehouse in Aurangabad, Maharashtra, with an annual capacity of 3 million bulk litres. The project is slated for completion by Q3 FY28.

This expansion is a key part of the company's long-term strategy to enhance its premium spirits offerings, particularly by entering the provenance-led Single Malt Whisky market. The investment will be financed through capital contributions and external debt, backed by a corporate guarantee.

Furthermore, an additional ₹10 crore has been allocated to Minakshi Agro Industries LLP to cover cost overruns on existing projects, including a bottling unit and distillery. These ongoing projects are expected to be finalized by Q3 FY27 and Q3 FY28, respectively. The additional funds are primarily for increased costs of key metals and minor expansions to accommodate new automated bottling lines.