Textile manufacturer and distributor Suumaya Industries Ltd said it has acquired a 51% stake in agri-tech company payAgri Innovations Pvt Ltd through its subsidiary Suumaya Agro Ltd.
The acquisition is a new bet in Suumaya’s diversification plans. The company did not disclose the financial details of the deal.
The firm said the acquisition will help it gain a strong foothold in the agri value chain business. The deal will also help the company get access to southern markets.
Ushik Gala, chairman and managing director of Suumaya Industries, said, “Diversifying into the agribusiness is a new pathway for the company which is unfolding new opportunities and markets for us. The company has already made substantial inroads into the segment, and we are almost certain that this highly scalable and sustainable business would be the next big growth engine for the company."
Mumbai-based Suumaya Industries had posted a net profit of Rs 406 crore and a revenue of Rs 4,263 crore for the last fiscal. The company is listed on the NSE.
Founded by KVM Rajkumar and Rajeev G Kaimal in 2017, payAgri operates at the farm gate level with primary investments in processing infrastructure for focused value chains. The firm focuses on spices like chilly, turmeric, cardamom, coriander, coconut, paddy, maize, millets, and wheat value chain.
The agri firm focuses on both the B2B segment with commodities and the B2C segment with value-added products.