ABD to acquire stake in Kion Blenders Industries

Allied Blenders and Distillers (ABD) has approved an agreement to acquire up to a 50 percent stake in Kion Blenders Industries Private Limited (KION), marking a strategic move to strengthen its distillation capacity and secure long term supply.

In a regulatory filing, the company informed that the Management Committee of its Board of Directors, at a meeting held on March 02, 2026, approved entering into a Shareholders’ Agreement and Share Purchase Agreement with the existing shareholders of KION. The agreement provides for the acquisition of up to 50 percent of KION’s paid-up share capital. Upon execution of the Shareholders’ Agreement, KION will become a subsidiary of ABD and consequently a related party.

KION, incorporated on August 25, 2025, is setting up a 200 KLPD dual-mode distillery at Vizianagaram, Andhra Pradesh, with a planned project investment of approximately Rs 300 crore. The proposed acquisition aligns with ABD’s growth strategy to enhance distillation capacity across key markets, improve margins, and strengthen supply security.

ABD’s total investment in KION is capped at Rs 45 crore, to be infused in tranches. The initial acquisition is expected to be completed by June 2026, and the distillery is targeted to be commissioned by Q4 FY28, subject to regulatory approvals.

KION’s business scope includes refining, distilling, rectifying, fermenting, blending, bottling, packaging, storing, distributing, importing, exporting, and trading in Extra Neutral Alcohol (ENA), ethanol, industrial and potable alcohol, rectified spirit, and other alcohol-based products.