Pizza meets Biryani! Devyani International acquires IITian's Biryani By Kilo for Rs 420 crore
Live Events
(You can now subscribe to our
(You can now subscribe to our ETMarkets WhatsApp channel
QSR operator Devyani International , which operates franchise of Pizza Hut and KFC , on Thursday announced that it has acquired 80.72% stake in Sky Gate Hospitality , known for Biryani By Kilo , in a Rs 419.60 crore deal.'Devyani International Ltd. (DIL), a prominent player in India's Quick Service Restaurant (QSR) sector, has announced the acquisition of controlling stake in Sky Gate Hospitality Private Limited ('Sky Gate') along with its three brands i.e. 'Biryani By Kilo', 'Goila Butter Chicken', and 'The Bhojan'. This strategic move aims to enhance DIL's presence in the Indian cuisine segment by integrating these well-established brands into its portfolio,' the company announced via a filing to the stock exchanges.Co-founded by Kaushik Roy and IIT-BHU passout Vishal Jindal, Sky Gate runs a portfolio of dine-in restaurants and delivery brands across 40 cities in India. The deal will make Sky Gate a Devyani International subsidiary, strengthening its premium dining and delivery presence.The acquisition implies an equity value of Rs 519 crore for Sky Gate, while the effective acquisition cost of 80.72% has been pegged at Rs 419.6 crore. The deal will be settled partly through a preferential issue of 2.37 crore equity shares at Rs 176.78 per share (including premium), with the remainder to be paid in cash.The transaction includes Sky Gate and its subsidiaries—Blackvelvet Hospitality, Say Chefs Eatery, and Peanutbutter and Jelly Pvt Ltd. As part of the agreement, Sky Gate will transfer its brand Krazy Kebab Co. and its investment in Peanutbutter (which owns the brand Get-A-Way) within the next nine months, and the acquisition value has been determined, excluding these assets.Also read: HUL Q4 Results: PAT rises 4% YoY to Rs 2,493 crore, revenue up 2% Sky Gate reported a consolidated turnover of Rs 277 crore (unaudited) for FY25, up from Rs 268 crore in FY24, Rs 218 crore in FY23, and Rs 133 crore in FY22—excluding revenues from Krazy Kebab Co. and Peanutbutter.Shares of Devyani International were trading 2.14% higher at Rs 179.15 on the BSE at 3 pm on Thursday.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hans India
9 minutes ago
- Hans India
Good Governance Maha Padayatra organised
Eluru: MP Putta Mahesh Kumar stated that he has been working tirelessly for the overall development of the Eluru Parliamentary Constituency. As the government completes one year in office with the blessings of the people, the MP participated in the 'One Year of Good Governance Maha Padayatra' held in Eluru along with MLA Badeti Radhakrishna and Municipal Corporation Mayor Sheikh Noorjahan. Speaking at the gathering, the MP said that in an unprecedented move, they were able to secure approval from the Central Government for 12 railway overbridges at an estimated cost of approximately Rs 1,400 crore, and that another four are currently under review by the Central Government. He added that he is making every effort to secure the necessary funding for their construction. He highlighted that within just three months of being elected as MP, he obtained approval for the VandeBharat Express train halt at Eluru Railway Station. He also said that during the elections, palm oil was priced at Rs 12,000, and efforts were made to ensure a profitable price of over Rs 21,000. However, due to recent global developments, prices have slightly declined. He revealed that over Rs 2,000 crore is expected to be spent on the development of national highways within the Eluru Parliamentary Constituency and that they will only claim credit after the foundation stones are laid. He reminded that recently, under the MSME Industrial Parks initiative across all constituencies in the state, the foundation stone was laid for a park in Chintalapudi constituency, to be established on 70 acres. Land acquisition for similar parks in the remaining constituencies is currently underway, he said. He also said that a mega job fair was organised six months ago to create employment opportunities for the youth within the constituency, and another job fair is scheduled for July 14. He urged unemployed youth to make use of the opportunity. The MP later unveiled the poster for the job fair scheduled on July 14.
Indian Express
13 minutes ago
- Indian Express
With policy revision, infra push, UP aims to make Agra-Kanpur ‘twin footwear hubs of country'
With Kanpur and Agra accounting for over 75 per cent of the total registered leather units in Uttar Pradesh, the state government has laid out an elaborate plan to make them 'twin footwear hubs' of the country. 'We are working with the idea to capitalise on the strategic and comparative advantage Agra and Kanpur have in the footwear sector — right from raw materials to production to skilled workforce,' said a senior official of the state Industry Department. To begin with, the state government is comprehensively revising its leather industry policy 'to anchor not just domestic but also foreign investors'. Pointing to the recent investment trend in the leather sector, officials said that while Kanpur has attracted investors mainly in large-scale units and tanneries, promising investment of up to Rs 7,450 crore, Agra has mainly attracted investment in the small footwear manufacturing units. 'The government plans to now promote the two as twin cities by combining raw materials and finished production. Thus, the upcoming policy would not just aim at providing financial support to the interested investors but also provide assistance in technology upgrade, and at the same time offer export subsidies to both manufacturers as well as exporters,' the official added. The government aims to increase Agra's share in the national leather export revenue, which is proposed to reach Rs 46,000 crore, to close to 40 per cent, while Kanpur 20 per cent. It is expected to receive investment of up to Rs 8,000 crore in the two cities in the next four years. 'We already have a competitive edge in the international market in the sector with Kanpur famous for raw products and Agra for finished products. Products from both these cities are already being exported to Europe, UK, USA, Australia among others,' said the official. The edge the state has in raw leather production is being showcased to attract investment. Uttar Pradesh already contributes to about 30 per cent of India's raw leather production and about 46 per cent of the country's leather export to not just the US and Europe, but also to the Middle East. 'Highly skilled labour in this sector is a plus for investors. Therefore, the idea is to create an environment as per the need of the international market to further boost the sector,' the official added. Recently, a delegation of senior officials had also visited Guangzhou in China to explore the further possibilities to grow the two cities as the footwear hub. Furthermore, the government is developing footwear parks in both Agra and Kanpur. The state's first such footwear park, spread over 132 acres, is ready in Kanpur with about 75 industrial plots already being offered. A similar park is being planned in the next phase for Agra as well. 'The government is inviting EOI (Expression of Interest) for footwear and its accessories companies to set up shops in the two cities with world class infrastructure, and skilled workforce. Besides good road connectivity — both the cities are connected with each other as well as national capital through expressways, a supportive government policy has been drafted with incentives, subsidy and rebate to investors in the sector,' the official added. After Tamil Nadu, Uttar Pradesh is the second state in the country to come up with a dedicated footwear and leather policy. Under the policy, parks developed on 25–100 acres will be eligible for up to Rs 45 crore in capital subsidies, and parks over 100 acres can receive up to Rs 80 crore. 'All parks must be completed within five years, and at least 25 per cent of the land must be allocated to green and open spaces,' according to the policy draft. Investors will be required to invest a minimum of Rs 150–200 crore, depending on the nature of the unit (plant, cluster, or park), potentially generating 1,000 to 3,000 new jobs per unit. For every Rs 1 crore invested, the state expects to create 20 employment opportunities.
Time of India
18 minutes ago
- Time of India
Centre's no MDR stance derails fintech's UPI monetisation plans
Live Events The Ministry of Finance's clarification that there was no plan to reintroduce the merchant discount rate (MDR) on payments done via Unified Payments Interface has dampened the monetisation plans that payment firms had around the popular payment of listed payment firms fell Thursday, a day after the ministry said speculations about the return of the fee for processing UPI payments were 'completely false, baseless and misleading'. One 97 Communications , which runs the payment platform Paytm , closed 6.8% lower at Rs 895.15 on the BSE. One Mobikwik Systems, which operates the Mobikwik application, ended 2.6% down at Rs 274.15.'It will be business as usual since we have been operating without MDR for a few years now. But there was hope in the industry that MDR would be brought back at least for big-ticket transactions; now that is gone,' the chief executive of a major payment processor said on the condition of anonymity.A senior banker who leads the payments function at a private sector lender pointed out that once the government has got the merchant ecosystem used to free digital payments, bringing back the system was always going to be a the last two months, the industry circle was abuzz with conversations around the government seriously considering bringing back MDR, but only for large purchases.'Obviously, we do not know much, and we will not like to predict how the government is looking at it, but we definitely see talks of MDR coming on UPI,' Paytm chief executive Vijay Shekhar Sharma said during the company's FY25 analyst call. He said it could help in building monetisation opportunities from the core payments business for firms like insiders also pointed out that fintech firms have been encouraging customers to move to instruments like mobile wallets or prepaid payment instruments (PPIs) and credit cards, which are MDR generating instruments.'MDR on PPI-UPI, something that is already in motion from the RBI and it is under discussion in the payments ecosystem across multiple industry players and should go live soon. From our perspective, it will definitely bring a new source of revenue, which today we are not getting,' Mobikwik cofounder Bipin Preet Singh said during the FY25 analyst listed firms were talking about projected revenue opportunities, the ministry clarification on MDR could have an impact on fintech IPOs lined up for the coming reported on May 19 that PhonePe gets 95% of its revenue from digital payments and UPI payments is a core aspect of that business. The company is in the process of filing for an IPO in the second half of the current year. Merchant payments company Pine Labs, which is set to file its draft IPO papers this month, gets a significant share of payments via UPI. For Razorpay, another company planning to go public by 2026, UPI accounts for a significant chunk of business.'We have seen almost all forms of innovation and new investments stop in the core payments business. There was hope in the industry that some of it would come back, but it seems that is also gone,' said the founder of another payments firm.
