Tilaknagar Industries picks up minority stake in Samsara gin maker

New Delhi: Alcoholic beverages company Tilaknagar Industries Ltd., on Wednesday said it will invest ₹9.75 crore in Spaceman Spirits Lab Private Limited that markets craft gin under the Samsara brand. Post the investment, the company shall hold 10% of the issued and paid up share capital in SSLPL on a fully diluted basis.

The investment will be made in two tranches, Tilaknagar Industries said in a filing to the exchanges on Wednesday.

“The company has considered and agreed to invest in two tranches an aggregate sum of Rs. 9.75 crore in the securities of Spaceman Spirits Lab Private Limited through a combination of equity shares and compulsory convertible preference shares (CCPS). SSLPL is engaged in the business of creating and marketing craft alcohol brands and offering advisory services to prospective AlcoBev entrepreneurs. The company has a presence in the premium craft gin segment through the brand, Samsara,” the company said in the filing.

The investment marks TIL’s entry into the premium craft gin segment. The company already sells white and brown spirits such as brandy, whisky, vodka, gin, and rum in India. It is among the top brandy makers in the country with brands such as Mansion House Brandy and Courrier Napoleon Brandy. It also sells Blue Lagoon gin apart from whisky under the Mansion House Gold brand and Madiraa Dark rum.

Samsara also sells flavored gins. Interest in the gin category has grown as consumers have shown keen interest in the white spirit. In fact, last year, spirits major Diageo India announced an investment of ₹31.5 crore to acquire a strategic minority stake in Nao Spirits & Beverages Private Limited that sells craft gin brands Greater Than and Hapusa.

In October last year, Tilaknagar Industries Limited announced an investment of ₹1 crore for a 19.50% equity stake in Pune-based start-up, Incredible Spirits Private Limited that plans to develop ready-to-drink (RTD) alcoholic brand under the brand name Swigger.

In FY22, Tilaknagar Industries reported gross revenue of ₹1,792 crore. Spaceman Spirits Lab Private Limited reported a turnover of ₹2.7 crore for the year ended 31 March 2022. It is an alcohol beverage company engaged in the business of creating and marketing craft alcohol brands (particularly gin) and offering advisory services to alco-bev entrepreneurs.