Emami Ltd shares plunged to a 52-week low of Rs 385.5 during Thursday's trading but closed 1.3 percent higher at Rs 398.5. This volatility coincided with the company's announcement to acquire the remaining 73 percent stake in Axiom Ayurveda Pvt Ltd for up to Rs 200 crore, securing 100 percent ownership. The move marks Emami's push into health beverages amid rising demand for wellness products.
Acquisition Signals Shift to Health Beverages
Emami first took a 27 percent stake in Axiom about two and a half years ago, gaining early exposure to functional drinks. The full buyout, set to complete in phases over three months, extends Emami's reach beyond beauty and personal care into food and beverages. Vice Chairman and Managing Director Harsha Vardhan Agarwal described this as capturing emerging categories that match consumer shifts toward wellness.
Axiom's Portfolio Drives Revenue Growth
Founded in 2019 by Rishabh Gupta and Alisha Gupta, Axiom offers aloe vera-based AloFrut beverages, functional juices under Axiom Jeevan Ras, and beauty products like Mukti Gold. These span nutrition and preventive health, areas with strong urban demand. Turnover rose from Rs 107 crore in FY24 to Rs 110 crore in FY25, reflecting a stable base ready for Emami's distribution scale.
New Leadership Bolsters Expansion Plans
Axiom appointed Harkirat Bedi as CEO, drawing on his experience as Vice President and Business Head at Dabur Nepal. This pairs founder innovation with professional management to professionalize operations in competitive markets. Emami's network, spanning brands like Navratna, BoroPlus, and Zandu Balm, enables cross-selling and deeper penetration for AloFrut.
Broader FMCG Trends Fuel Strategy
Past deals, such as full ownership of The Man Company in 2024 and investment in pet care firm Fur Ball Story in 2022, show Emami building a multi-category presence. Consumers now favor natural, plant-based options and functional drinks with health benefits. This acquisition compresses Emami's entry into high-frequency beverage sales, positioning it within India's evolving wellness ecosystem.
