India-based spirits producers Inbrew Beverages and Tilaknagar Industries are in advanced talks to raise private credit financing as they vie for control of Imperial Blue, the whiskey brand being divested by French drinks giant Pernod Ricard, according to a report by Reuters citing sources familiar with the process.
Both firms are understood to be seeking debt packages of approximately $500m each, approaching a number of private credit funds to support their respective bids. The proposed acquisition values Imperial Blue – currently India’s third-largest whiskey brand by sales – at between $600m and $650m, per local media reports.
Avendus Capital has been mandated by Tilaknagar Industries to advise on the transaction, while Standard Chartered is advising Inbrew Beverages, two of the sources confirmed.
Neither Inbrew, Tilaknagar, Avendus Capital, nor Standard Chartered responded to requests for comment at the time of publication.
The deal, if successfully concluded, would mark the largest M&A transaction in India’s alcoholic beverages sector in over a decade. The last comparable deal was in 2013, when Diageo acquired a controlling stake in United Spirits for $1.9bn.
Industry sources anticipate a final agreement could be reached within the next month, with both bidders having progressed to late-stage negotiations.
