Adani Enterprises joint venture unit April Moon retail buys 74% stake in Cococart ventures for ₹200 crore

Adani Enterprises Ltd, on Friday, announced that April Moon Retail Private Ltd (AMRPL), a joint venture of its step-down subsidiary Adani Airport Holdings Ltd (AAHL), will be acquiring a 74 per cent stake in Cococart Ventures Private Ltd (CVPL).

The acquisition, valued at ₹200 crore, will be executed through a mix of share purchase and subscription agreements. This strategic move was formalized with the signing of a share purchase agreement (SPA), a share subscription agreement (SSA), and a joint venture agreement (JVA) on September 27, 2024.

"We would like to inform you that April Moon Retail Private Limited (“AMRPL”), a joint venture company of Adani Airport Holdings Limited, (“AAHL”), which is a wholly owned subsidiary of the Company, has executed a Share Purchase Agreement (“SPA”), Joint Venture Agreement (“JVA”) and Share Subscription Agreement (“SSA”) on 27th September, 2024 (collectively, “Agreements”) (information of the same has been received by the Company on 27th September, 2024 at 05:06 PM) with Cococart Ventures Private Limited (“CVPL”) and existing shareholders of CVPL namely, Mr. Karan Ahuja and Mr. Arjun Ahuja for acquisition of shares in CVPL, to acquire 74% stake in CVPL,” the company said in the exchange filing.

Under the SPA, AMRPL will obtain 1,473,518 shares, which accounts for 36.96 per cent of CVPL’s equity. Meanwhile, under the SSA, AMRPL will purchase 1,476,471 shares, representing 37.04 per cent of CVPL’s equity.

The combined transactions will result in AMRPL acquiring a controlling 74% stake in CVPL, with the goal of enhancing the Adani Group’s retail operations. Founded in September 2020, CVPL engages in the buying, selling, relabeling, and trading of goods both retail and wholesale, and operates cafés across India.

This acquisition signifies Adani's entry into the retail and food & beverage sectors, aligning with its broader strategy to diversify beyond its primary focus on infrastructure and energy. Since its inception, CVPL has demonstrated impressive growth, with a turnover of ₹99.63 crore for FY23, a significant rise from ₹51.61 crore in FY22 and ₹6.89 crore in FY21.

The transaction is anticipated to be finalized by October 31, 2024, and will formalize a joint venture between AMRPL and CVPL's current shareholders, Karan Ahuja and Arjun Ahuja.

This initiative aims to broaden CVPL’s business activities, establishing a framework for shared rights and responsibilities related to management, governance, and commercial agreements.

Adani Enterprises Ltd shares closed at ₹3,131.15, increasing by ₹10 or 0.32 per cent on the BSE.