According to reports from Moneycontrol, Sula Vineyards has signed a definitive agreement with Moet Hennessy India to acquire Chandon's estate in Dindori, Nashik, for ₹20 crore. The transaction, structured as an asset purchase agreement, covers land, building, plant and machinery, and related assets forming the estate of Domaine Chandon India. The acquisition will be funded through a combination of internal accruals and debt, with additional costs related to acquiring inventory to be determined closer to the transaction's closing date. The transaction is expected to close by the end of the first quarter of FY27, subject to satisfaction of certain closing conditions and completion of regulatory approvals.
As reported by Moneycontrol, the acquired facility spreads across 19 acres and comprises a highly advanced wine production facility with an annual capacity of 4.5 lakh litres, which is scalable up to 13 lakh litres. The property also features a visitor centre, banquet facility, and 5 acres of vineyards, enhancing Sula's wine tourism offerings. Following completion of the acquisition, Chandon will cease wine production in India, and Sula will market wines produced from the estate under its own portfolio, with no ongoing use of the Chandon brand. Sula will immediately commence operations of the existing hospitality facilities and tasting room upon handover, maintaining continuity.
According to Moneycontrol, the acquisition strengthens Sula's presence in Dindori, which is widely regarded as the home of India's finest wine grapes. Building on the success of their flagship wine tourism destination near Gangapur Lake in Nashik, which is the most visited vineyard globally, attracting over 3 lakh visitors annually, Sula sees strong potential to develop another landmark destination wine resort in Dindori. The estate's strategic location, just 20 minutes from Nashik Airport, offers logistical advantages, especially with the upcoming Kumbh Mela expected to boost connectivity. Proximity to Sula's existing wineries in Dindori allows for seamless operational integration.
As reported by the regulatory filing submitted to the National Stock Exchange of India, the transaction is structured under an Asset Purchase Agreement (APA) and is not classified as a related party transaction. The consideration for the acquisition will be discharged in cash, funded through a combination of internal accruals and debt. Notably, neither Sula Vineyards' promoter, promoter group, nor its group companies hold any interest in Moët Hennessy India Private Limited. The acquisition does not involve the purchase of the seller entity itself but focuses on the identified assets, with the transaction expected to enhance Sula Vineyards' wine tourism business, which remains its strongest growth segment.
As reported by Moneycontrol, Sula Vineyards founder and CEO Rajeev Samant stated that leveraging its strategic location and picturesque setting, they believe this estate will play a key role in the next phase of growth for their wine tourism business. Samant described the acquisition as a unique opportunity to acquire a world-class estate, praising its beauty and potential. The acquisition represents a significant expansion of Sula's wine tourism footprint in the Nashik region, strengthening the company's position in India's premium wine segment while expanding tourism capabilities.
