Varun Beverages to buy 50 per cent stake in Everest Industrial Lanka

The deal, structured as a cash transaction, is expected to close on or before May 30, 2025

Varun Beverages Limited (VBL), a leading bottling partner of PepsiCo, has announced the acquisition of a 50 per cent equity stake in Everest Industrial Lanka (EIL) for Rs 32.08 crore ($3.75 million).

EIL, headquartered in Sri Lanka, specialises in the production, manufacturing, and distribution of commercial visi-coolers. The acquisition, approved by the Investment and Borrowing Committee of VBL’s Board of Directors, has also received clearance from Sri Lanka’s Board of Investment. The deal, structured as a cash transaction, is expected to close on or before May 30, 2025.

In FY 2024, Everest Industrial Lanka reported operational revenue of $1.74 million, a slight decrease from $1.86 million the previous year.

This acquisition is part of VBL’s broader expansion strategy. The company has recently extended its distribution of PepsiCo snack products to Zimbabwe and Zambia, while also boosting domestic operations with new manufacturing plants in Kangra and Prayagraj and upcoming units in Bihar and Meghalaya.

VBL is also deepening its backward integration efforts, with new facilities operational in Prayagraj and the Democratic Republic of Congo (DRC).
The company reported strong Q1 2025 results, with consolidated sales volumes up 30.1 per cent year-on-year to 312.4 million cases. Revenue rose 28.9 per cent to Rs 5,566.9 crore ($650.4 million), and EBITDA increased 27.8 per cent to Rs 1,263.9 crore ($147.7 million), driven by a 15.5 per cent growth in organic volume in India.