Home / Business and Economy / Zappfresh Buys Majority Stake in Foodtech Firm
Zappfresh Buys Majority Stake in Foodtech Firm
2 Jan
Summary
- Zappfresh acquires a 51% stake in Avyom Foodtech for Rs 7.5 crore.
- The acquisition expands Zappfresh into ready-to-cook and ready-to-eat segments.
- Avyom Foodtech was founded in 2022 and produces frozen and ambient food items.
Direct-to-consumer meat company Zappfresh has approved the acquisition of a 51% stake in Avyom Foodtech Pvt Ltd through a Rs 7.5 crore private placement. This move signifies Zappfresh's strategic expansion into the ready-to-cook (RTC) and ready-to-eat (RTE) food segments, broadening its product portfolio significantly. The transaction is anticipated to be finalized within the next three to nine months.
Avyom Foodtech, founded in 2022, currently engages in the production of a variety of frozen and ambient food items, including snacks, gravies, and sauces. As part of this acquisition deal, Avyom has also agreed to acquire the food processing business of Ambrozia Frozen Foods via a slump sale, further consolidating its market position.
This acquisition aligns with Zappfresh's ongoing growth strategy, which previously included acquiring brands like Bonsaro and Dr Meat. Zappfresh, which operates in Delhi-NCR and Bengaluru, has also revised its IPO capital utilization plan to prioritize acquisitions for expansion, underscoring its ambitious growth trajectory.
