New Delhi: Diversified conglomerate ITC Ltd has announced the acquisition of Sresta Natural Bioproducts Pvt. Ltd. (SNBPL), the company behind the popular 24 Mantra Organic brand, in an all-cash deal valued at Rs 472.5 crore. This strategic acquisition is aimed at bolstering ITC’s presence in the rapidly expanding organic food segment both in India and globally.
In a regulatory filing, ITC confirmed that it has signed a share purchase agreement to acquire a 100% stake in SNBPL. The deal includes an upfront payment of Rs 400 crore at closing, with an additional Rs 72.5 crore payable over the next 24 months, subject to agreed conditions. The acquisition is structured on a cash-free, debt-free basis.
The transaction, expected to be completed in the first quarter of FY2025-26, aligns with ITC’s ‘Next Strategy’ under Chairman Sanjiv Puri, which emphasizes building a future-ready, nutrition-led portfolio that addresses evolving consumer preferences for health and sustainability.
“We are excited to have 24 Mantra Organic as part of ITC’s Foods Business portfolio. The brand has built a strong sourcing network and trusted product lineup that complements our commitment to healthy and sustainable foods,” said Hemant Malik, Wholetime Director, ITC Ltd.
Founded in 2004, Hyderabad-based SNBPL has emerged as a pioneer in the Indian organic packaged food market. Its product portfolio includes over 100 organic SKUs across categories such as staples, spices, condiments, edible oils, and beverages. The company has established a significant international footprint, especially among the Indian diaspora, through its subsidiaries Fyve Elements LLC (USA) and Sresta Global FZE (UAE).
The company also boasts a robust backend network, working with around 27,500 farmers and managing over 1.4 lakh acres of certified organic farmland across 71 clusters in 10 Indian states. SNBPL reported a revenue of Rs 306.1 crore in FY2023-24.
Commenting on the deal, Rajashekar Reddy Seelam, Founder and MD of SNBPL, said, “ITC shares our vision of promoting sustainable farmer livelihoods and healthy lifestyles for consumers. With ITC’s product development and distribution strengths, we are confident that 24 Mantra Organic will reach millions of homes.”
The acquisition is expected to significantly strengthen ITC’s footprint in the high-growth organic foods segment, driven by rising consumer demand for health-oriented products, increased awareness of environmental sustainability, and the growing influence of digital and new-age distribution channels.
In a parallel development, ITC also announced the acquisition of the remaining 73.5% stake in Mother Sparsh Baby Care, completing its full ownership of the direct-to-consumer (D2C) brand. ITC had earlier acquired a 26.5% stake in 2022.
