Adani Group in talks to sell entire stake in Adani Wilmar: Report

The Adani Group, helmed by Chairman Gautam Adani, is reportedly in discussions with several multinational consumer goods companies to sell its entire 43.97% stake in Adani Wilmar, the joint venture behind the popular Fortune brand of edible oils. The deal, which is anticipated to fetch the conglomerate between $2.5-3 billion, is expected to be finalized within a month, according to sources cited in The Economic Times.

Adani Wilmar, established in January 1999 as a joint venture between the Adani Group and Singapore-based Wilmar International, boasts a diverse product portfolio, including wheat flour, rice, pulses, and sugar. In addition to being a leading packaged food company in India, it holds the titles of the largest lauric fat manufacturer, the largest castor oil manufacturer, and the largest exporter of castor oil and its derivatives in the country.

While both the Adani Group and Adani Wilmar have refrained from commenting on the reported stake sale, sources suggest that the move aligns with the conglomerate's strategy to exit non-core assets and redirect resources towards core focus areas, particularly infrastructure investments, reported Business Today. The proceeds from the stake sale are expected to fuel these strategic initiatives rather than reducing debt, as per insiders.

This development follows earlier reports of the Adani Group's plans to divest non-core assets, aimed at creating a liquidity buffer. The move to sell its stake in Adani Wilmar signifies a pivotal step in the group's ongoing restructuring efforts, emphasizing a shift towards its core business interests. Adani Wilmar operates 23 plants across 10 states in India, solidifying its position as a key player in the country's packaged food industry.

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