ITC to raise stake in Mother Sparsh to 49% with Rs 81-cr investment; full acquisition in 2-3 years, ET Retail

Himanshu Y. Gandhi, Founder and CEO, Mother SparshNew Delhi: ITC Ltd will invest Rs 81 crore to raise its stake in baby care brand Mother Sparsh from 26.5% to 49.3%, as part of a phased acquisition plan. The investment will be completed in two tranches by the end of Q1 FY27, through a mix of primary and secondary transactions.

Following the fresh capital infusion, ITC’s total investment in the company will stand at Rs 126 crore. The balance stake will be acquired over the next two to three years, based on pre-agreed terms.

Sameer Satpathy, chief executive of personal care products business division at ITC, said, “This acquisition is an exciting opportunity, aligned with our aspiration to build a formidable portfolio of future ready, best-in-class innovative offerings that delights Indian consumers.”

Himanshu Gandhi, founder and CEO, Mother Sparsh said, “We are confident that ITC will take Mother Sparsh to the next level and help serve the needs of mothers for generations to come.”

Mother Sparsh, which reported an annual revenue run rate of over Rs 110 crore, operates with a digital-first strategy and sells baby care products across online and select offline channels.

The investment aligns with the ‘ITC Next’ strategy articulated by chairman Sanjiv Puri, which also focuses on building a future-ready suite of products that serve evolving consumer needs.

ITC had first invested in the company in 2021, as part of its broader FMCG diversification strategy.

• Published On Apr 19, 2025 at 07:17 PM IST

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