PAE Limited announces major Agri-Expansion: acquires Four Companies via Share Swap, Adding 12,000+ PoS Network

PAE Limited (BSE: 517230, ISIN: INE766A01026) has greenlit a transformative acquisition spree, approving the purchase of 100% stakes in four agri-commodity trading and processing firms. The board, in its February 6 meeting, entered share purchase agreements dated February 7 for Epicurean Grove Private Limited, Vidyutva Cereals Private Limited, Edenbloom Cereals Private Limited, and Agroblossom Grains Private Limited. These deals, structured as share swaps via preferential allotment of PAE equity shares, aim to rapidly scale the company's distribution footprint in high-growth regional markets.

Strategic Acquisitions Boost Market Penetration

All targets focus on trading and processing agricultural commodities, recently incorporated in 2025 (Epicurean: May 19, Telangana; Vidyutva: April 9, Gujarat; Edenbloom: March 17, Rajasthan; Agroblossom: April 9, Rajasthan). Upon completion, each will become a wholly owned subsidiary of PAE.

Epicurean Grove (Telangana): Acquiring 49,99,995 shares (FV ₹10). PAE to issue up to 69,99,993 shares (FV ₹10, issue price ₹60) to sellers Mrs. Patel Vandanaben Hiteshkumar and Mrs. Rinkal J Patel. Adds 5,000+ PoS in Telangana.

Vidyutva Cereals (Gujarat): Acquiring 40,00,000 shares. PAE issues up to 60,00,000 shares (₹60 price) to Mrs. Manjulaben Bharatbhai Patel and Mr. Vishal Ishvarbhai Patel. Targets Gujarat's rising incomes and consumption shifts, adding 3,000+ PoS.

Edenbloom Cereals (Rajasthan): Acquiring 42,50,000 shares. PAE allots up to 63,75,000 shares to Mr. Vinodbhai Ramabhai Patel and Mr. Purvik Bhargavbhai Patel. Bolsters Rajasthan network with 2,000+ PoS.

Agroblossom Grains (Rajasthan): Acquiring 45,00,000 shares. PAE issues up to 63,00,000 shares to Mr. Sureshbhai Ramjibhai Patel and Mr. Vikaskumar Ashokbhai Chaudhary. Further strengthens Rajasthan with another 2,000+ PoS.

Total Impact: Over 12,000 points of sale across Telangana, Gujarat, and Rajasthan, accelerating retail/wholesale penetration and cutting operational costs.

Deal Structure and Rationale

Transactions are share swaps (no cash), with preferential allotments at ₹60 per PAE share (FV ₹10), pending shareholder special resolution, BSE in-principle approval, SEBI nods, and other regulations. Completion targeted within 15 days of final approvals.

These align with PAE's growth strategy in fast-evolving agri-markets driven by higher disposable incomes and consumption changes. Epicurean involves promoter group interest (directors/shareholders), but others are arm's-length. No governmental approvals needed.

The moves enable quicker turf development, revenue acceleration, and synergy savings, with sellers on board.

Broader Implications for PAE

This inorganic push positions PAE for aggressive expansion in agri-commodities, leveraging acquired networks for faster market entry versus organic builds. Subject to approvals, it signals confidence in regional demand and could dilute existing shareholders proportionally to new issuances (total ~2.57 crore shares).

PAE Limited eyes these as proactive steps for outreach and revenue growth in a competitive sector.

Source : Equity Bulls

Keywords

PAE Acquisitions AgriExpansion AgriCommodity Trading Processing