New Delhi: Heritage Foods Ltd on Monday said it is in talks with Kishore Biyani-led Future Group for a possible stake sale to the home-grown retail major.
“We confirm that both groups have been in discussion for possible business association... However, at present, there is no legally binding agreement on any business collaboration or association and all discussions at this stage are exploratory in nature,” Heritage Foods said in a clarification to BSE.
Heritage Foods was responding to reports that the company is in advanced talks with the Future Group to sell its retail business. Heritage Group, which was founded in 1992 by N Chandrababu Naidu, the current chief minister of Andhra Pradesh, reported a turnover of Rs2,380.58 crore in the previous fiscal.
The company has operations in dairy, retail, agriculture, bakery, renewable energy and animal feed segments.
Shares of Heritage Foods surged over 10% after the company said it is in talks with Future Group. The stock jumped 10.20% to settle at Rs901.90 on BSE. During the day, it soared 16.75% to Rs955.55—its 52-week high.
On NSE, the shares advanced by 9.58% to close at Rs898.45. On the volume front, 2.21 lakh shares of the company were traded on BSE and over 10 lakh shares changed hands at NSE during the day.