DSM Fresh Foods Enters High-Growth RTE & RTC Segment with Acquisition of Avyom Foodtech Pvt Ltd
DSIJ Intelligence-1Categories: Mindshare, Trending
The company has a market cap of over Rs 300 crore and the stock is up by 24.2 per cent from its 52-week low of Rs 120 per share.
DSM Fresh Foods Limited (BSE: ZAPPFRESH) has officially entered the high-growth Ready-to-Eat (RTE) and Ready-to-Cook (RTC) segments by acquiring a 51 per cent controlling stake in Avyom Foodtech Private Limited (AFPL). The deal involves a Rs 7.5 crore cash infusion via preferential allotment. This strategic move is designed to diversify the company’s portfolio beyond fresh foods, utilising a capital-efficient structure that aligns operating management with long-term growth objectives.
As part of this expansion, AFPL has signed a binding agreement to acquire the food processing business of Ambrozia Frozen Foods through a slump sale. This acquisition provides DSM Fresh Foods with immediate access to a five-acre, fully operational facility, complete with established plant machinery and proven recipes. By acquiring a running operation rather than pursuing a greenfield project, the company significantly reduces its time-to-market while assuming existing liabilities and Bank borrowings in a calibrated manner.
The integration of these assets positions DSM Fresh Foods to scale rapidly, leveraging a facility that has historically generated peak annual revenues of approximately Rs 16 crore. With FSSAI-approved processes and export-ready infrastructure, the company is now equipped to pursue international markets alongside its domestic growth. This move marks a transition toward a more diversified, technology-enabled food platform capable of delivering processed solutions at scale.
About the Company
DSM Fresh Foods Limited (formerly DSM Fresh Foods Private Limited) is a technology-enabled fresh foods platform focused on sourcing, processing and delivering high-quality meat and food products to consumers and institutional customers. Headquartered in New Delhi, the Company operates under the ZappFresh brand and is committed to quality, traceability and operational excellence across the food value chain.
On Friday, shares of DSM Fresh Foods Ltd gained 3.33 per cent to Rs 148.95 per share from its previous closing of Rs 144.15 per share. The stock falls under the BSE SME Emerge Index with a lot size of 1,200 shares. The shares of the company saw a Spurt in Volume by more than 2 times on the BSE. The company has a market cap of over Rs 300 crore and the stock is up by 24.2 per cent from its 52-week low of Rs 120 per share.
Disclaimer: The article is for informational purposes only and not investment advice.