Wipro Consumer Care and EID Parry are bidding to acquire Manjilas Food Tech, the Kerala-based firm behind the Double Horse brand, in a potential ₹500 crore deal. The acquisition aims to strengthen the food portfolios of these consumer goods giants as they compete in the regional packaged food market.
Detailed Coverage
Wipro Consumer Care & Lighting and the Murugappa Group, through its listed arm EID Parry, are actively competing to acquire Manjilas Food Tech Pvt. Ltd. The Kerala-based company, best known for its Double Horse brand, has initiated a process to sell a significant stake with the help of advisory firm EY. The transaction is expected to be valued at approximately ₹500 crore, though no final agreement has been signed yet.
Strategic Expansion in Packaged Foods
For Wipro Consumer Care, this pursuit aligns with a clear strategy to enter and expand within the Indian food sector. CEO Kumar Chander has previously identified the food business as a critical avenue for long-term growth. The company has a history of inorganic expansion, having invested over $1 billion in various global and domestic acquisitions, including the recent purchase of brands from TTK Healthcare for ₹256 crore. By acquiring established regional players, Wipro aims to bypass the time-consuming process of building brands from scratch and immediately gain access to a loyal consumer base and distribution network.
EID Parry, a major player in the sugar and nutraceuticals space, is also looking to expand its footprint in the packaged food category. The company regularly explores strategic opportunities to diversify its revenue streams. While EID Parry confirmed in regulatory filings that it continuously evaluates potential deals, it maintained that no event has occurred yet that requires a formal disclosure of a completed transaction.
Financial Context and Market Competition
Manjilas Food Tech, which has operated in the Kerala market since 1959, offers a wide range of products including rice powders, spices, breakfast mixes, and pickles. In the financial year 2025, the company recorded a revenue of ₹341.5 crore, reflecting an 8% increase compared to the previous year. However, the company faced challenges on the bottom line, reporting a net loss of ₹4 crore in FY25, a shift from a modest net profit of ₹90 lakh in FY24. This recent financial pressure highlights the difficulties regional players face in maintaining profit margins amid rising competition and operational costs.
The Double Horse brand faces intense competition from several established players in the South Indian market, including Eastern, Nirapara, Aachi, ID Fresh, and Brahmins. The ability of the acquiring company to improve the profitability of Manjilas will depend on its capacity to optimize supply chains and achieve economies of scale.
Investors will now watch for official announcements from either company regarding the outcome of these discussions. Key monitorables for the eventual buyer will include the integration of Manjilas into their existing distribution network, the timeline for restoring profitability, and whether the purchase price aligns with the company's long-term earnings potential.