Marico Strengthens Packaged Foods Play

Homegrown FMCG major Marico has announced that it will acquire the remaining 46.02 percent stake in HW Wellness Solutions, which owns the True Elements brand. The acquisition is valued at up to Rs 138 crore and will make True Elements a fully owned subsidiary of Marico. This marks the completion of a journey that began in May 2022 when Marico acquired 53.98 percent in the company, establishing a foothold in the fast-growing health foods and snacking category.

Strategic Value of True Elements

According to Marico, the strategic investment in HW Wellness has already accelerated its presence in digital-first packaged foods while strengthening its positioning in healthy breakfast and snacking products. With True Elements in its portfolio, Marico has been able to capture growing consumer demand for nutritious food choices and add a differentiated offering in a segment that continues to expand rapidly. The acquisition also highlights Marico’s ongoing push toward digital transformation by integrating a brand with strong e-commerce credentials.

Timeline and Financial Impact

Marico expects to complete the acquisition of the balance stake on or before September 30, 2025, subject to satisfaction of the terms of the definitive agreement. HW Wellness Solutions reported a turnover of Rs 164.38 crore in FY25, reflecting steady growth in the health-focused packaged food market.

Market Reaction

Following the announcement, shares of Marico closed marginally higher at Rs 734.60 on the BSE, up 0.05 percent. While the stock movement was subdued, analysts expect the full ownership of True Elements to strengthen Marico’s portfolio diversification, potentially driving medium to long-term value creation.

Looking Ahead

The acquisition of True Elements positions Marico to deepen its presence in health-oriented consumer segments while leveraging digital channels for growth. As more urban households shift toward convenient yet healthy food options, Marico’s bet on True Elements could provide it with a strong competitive edge in the evolving FMCG landscape.

 

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