Sula Vineyards Buys Domaine Chandon India Assets for ₹20 Crore

Sula Vineyards Limited has agreed to acquire identified assets from Moët Hennessy's Domaine Chandon India in Nashik for ₹20 Crore. The move, executed through Sula's subsidiary Artisan Spirits Private Limited, is expected to strengthen Sula's wine tourism offerings and operational efficiencies.

Acquisition Details and Conditions

The Asset Purchase Agreement (APA) covers land, buildings, plant, machinery, and related assets. The transaction excludes inventory, taxes, and statutory levies. The consideration is ₹20 Crore.

The deal, dated March 25, 2026, is subject to the fulfillment of closing conditions and completion of deliverables outlined in the agreement. Moët Hennessy India Private Limited, part of the LVMH group, is the seller.

Boosting Wine Tourism and Operations

This acquisition is poised to significantly enhance Sula Vineyards' position in India's expanding wine tourism sector. The acquired estate is strategically located in Dindori, Nashik, near Sula's existing winery. This proximity is anticipated to yield substantial operational efficiencies and creates an opportunity for a new visitor destination in the region, supporting future growth and visitor experiences.

Sula Vineyards: A Market Leader

Sula Vineyards is India's largest wine producer and seller, holding approximately 35% of the market by value. The company is also a leader in wine tourism, operating multiple wineries and vineyards across Nashik, Maharashtra, and Karnataka. Sula has a history of strategic expansion, including vineyard acquisitions and capacity enhancements, to meet rising domestic demand. Notably, in 2022, Sula acquired a winery in Karnataka to broaden its footprint beyond its core regions.

Competitive Environment

Sula Vineyards stands out in the Indian wine market. Its closest competitor with a similar focus on wine production and sales is Grover Zampa Vineyards, which also operates vineyards and wineries in Nashik, specializing in premium wines. Other major players like United Spirits (Diageo) and Radico Khaitan are primarily focused on spirits, with wine being a smaller segment of their business.

Key Watchpoints

Investors will be watching for the timely fulfillment of all closing conditions stipulated in the Asset Purchase Agreement. The successful completion of the asset transfer and subsequent integration process will be crucial. Sula's strategy for leveraging the new estate, particularly for wine tourism, and any potential impact on production volumes or sales targets in the medium term will also be closely monitored.