M&A: Dabur acquires 51% majority stake in Badshah Masala


  • Dabur has completed acquisition of 51% stake in Badshah Masala for a cash consideration of Rs 588 Crore.
  • The balance stake of 49% in Badshah Masala will be acquired by Dabur in next five years.

About Badshah Masala:

  • Badshah Masala has been in the spices business since 1958. The owners at Badshah Masala personally carry out quality control checks. The formulae of their spice blends are a very closely guarded family secret.
  • Badshah Masala deals in six categories and has around 60 SKUs where it produces 400-500 tonnes of spices monthly.
  • It has manufacturing facilities located at Umbergaon, Gujarat.


About Dabur:

  • Promoted by the Burman family, Dabur started operating in 1884 as an Ayurvedic medicines company.
  • From its humble beginnings in the Bylanes of Calcutta, Dabur India Ltd is today fourth largest FMCG Company in India and has the largest herbal and natural product portfolio in the world.
  • The ayurvedic company has a portfolio of over 250 Herbal/Ayurvedic products a wide distribution network, covering 6.7 million retail outlets with a high penetration in both urban and rural markets.
  • Dabur’s products are in over 120 countries and overseas revenue accounts for 27% of turnover.



  • This deal has paved way for Dabur to enter into branded spices and seasoning market in India, worth over Rs 25,000 Crore.
  • The brand contributes 35% to the spices industry, competing with the likes of Vasant Masala, Pushp Masala, Mahashian Di Hatti Ltd (MDH), Everest Food Products Pvt. Ltd, Mother Spice Ltd, etc.
  • Badshah Masala has 80,000 distributors and Dabur India plans to leverage its larger distribution network for expanding the brand.
  • The deal has valued Badshah enterprise at Rs 1,152 Crore. This translates to a revenue multiple of around 4.5x and EBITDA multiple of around 19.6x of 2022-23
  • Estimated financials. Earlier Dabur has made acquisitions in personal care also for inorganic growth.
  • During 2020, the branded spices segment has seen a couple of deals. ITC bought Kolkata-based Sunrise Foods Pvt. Ltd. and Norway’s Orkla acquired a majority stake in Kerala’s largest spice maker Eastern Condiments through its wholly owned subsidiary MTR Foods.



RBI Bulletin (www.bulletin.rbi.org.in), SEBI (www.sebi.gov.in), NSE (www.nseindia.com), BSE (www.bseindia.com)


This material has been prepared by the personnel in Vora Corporate Finance which is Investment Banking arm of Vora Management Consultancy Private Limited and looks after Mergers & Acquisitions (M&A), Private Equity (PE), Fund Raising, Debt syndication and Valuations and is based out of Ahmedabad, Gujarat, India. Any views or opinions expressed herein are solely that of individual authors and may differ from view of Vora Management Consultancy Private Limited. This material is proprietary to Vora Management Consultancy Private Limited and is for your personal use only. Any distribution, copy, reprints or forward to others is strictly prohibited.

This material captures the information based on information available in the public domain, public announcements and sources believed to be reliable. Analysis contained herein is based on publicly available information and appropriate assumptions. This material is intended merely to highlight market developments and is not intended to be comprehensive and does not constitute strategic, investment, legal or tax advice. In no event Vora Management Consultancy Private Limited be liable for any use by any party or for any decision made or action taken by any party in reliance upon, or for any inaccuracies or errors in, or omissions from, the information contained herein and such information may not be relied upon by you for evaluating any transaction. 


#mergersandacquisitions #privateequity #ipo #debt #debtsyndication #valuations #rating #creditrating #financeadvisory #finance #economy #indianeconomy #fundraising #capitalmarket #capital #banking #m&a #ma #pe #initialpublicoffer #businessloan #loan #businessvaluation #registeredvaluer #acquisition #merger #deals #financialdeals #ahmedabad #gujarat #india #ratingadvisory#primarymarket #secondarymarket #mergersandacquisitionsahmedabad #maahmedabad #privateequityahmedabad #ipoahmedabad #financeadvisoryahmedabad #stockmarket