ITC acquires additional stake in Mother Sparsh for ₹30 crores

ITC Limited has completed the acquisition of 1,681 equity shares of Mother Sparsh Baby Care Private Limited. The shares, with a face value of ₹10 each, were purchased through a secondary transaction on May 19, 2026. This acquisition represents the second tranche of investment, following previous communications dated April 17, 2025, and May 21, 2025.

With this transaction, the company's shareholding in Mother Sparsh has increased from 39.47% to 49.32% of the share capital on a fully diluted basis. The acquisition was executed for a cash consideration of approximately ₹30 crores. The company confirmed that the shares were acquired from existing shareholders and that the transaction is not a related party transaction.

Mother Sparsh is a premium ayurvedic and natural personal care start-up. Its business focus includes baby personal care, health & hygiene, and expert baby care. The acquisition aligns with the strategy to build a future-ready suite of products to serve evolving consumer needs. No governmental or regulatory approvals were required for this transaction.

The target entity was incorporated on February 5, 2016, and operates exclusively in India. Mother Sparsh has demonstrated significant growth in turnover over the past three fiscal years.

Financial Year Turnover 2025-26 ₹ 138.5 crores 2024-25 ₹ 80.9 crores * 2023-24 ₹ 58.7 crores

*Note: Figures for 2024-25 have been restated on account of reclassification of certain expenses.

ITC is facing a significant 20% decline in cigarette sales during April-May, as price increases weigh on consumer demand, according to dealers. The sales slump follows a series of price revisions across the company's cigarette portfolio, including the recent hike on its Gold Flake Superstar brand.

Sales Impact From Price Increases

Dealers have flagged a notable drop in volumes, attributing the 20% sales decline directly to the price increases implemented by ITC. The development highlights the demand sensitivity among cigarette consumers in the Indian market following upward price revisions.

Price Revision Details

Among the recent price changes, ITC revised the retail price of its Gold Flake Superstar cigarettes upward. The following table outlines the key details of the price change:

Parameter: Details Brand: Gold Flake Superstar Previous Price: ₹70 Revised Price: ₹79 Sales Decline (April-May): 20%

Key Highlights

ITC's cigarette sales have declined by 20% during April-May, as reported by dealers.

The decline is attributed to price increases across ITC's cigarette portfolio.

The price of Gold Flake Superstar has been increased from ₹70 to ₹79.

The sales drop signals demand pressure following the price revisions in the Indian cigarette market.

We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better.

Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians.

As financial services are becoming more accessible, there is now a large set of Indians today who are financially aware and literate. They value time and seek high quality products & services. Most screening, trading, investing platforms available today are more or less similar to each other, and they have not evolved with time. While both traders & investors have gotten smart about how they make money and build wealth, as users they have continued to use the same products, features, and platforms that were available for years with little or no innovation.

We plan to change that - a technology-led and artificial intelligence enabled platform built for super traders and long term investors.

Disclaimer:

The data and information provided on this website is for general informational and research purposes only. While we strive to ensure that the content is accurate, up-to-date, and reliable, this platform utilizes artificial intelligence (AI) tools to generate, curate, and summarize information. As such, the content may occasionally contain errors, omissions, or outdated information. All users are therefore advised to cross verify the source of the data and information.

This website does not constitute professional, legal, financial, medical, or any other form of licensed advice. Users are encouraged to independently verify any information before relying on it, especially for decisions that may have legal, financial, or personal consequences.

The views, analyses, and summaries presented on this platform may be generated or assisted by AI and do not necessarily reflect the opinions of the website owners, operators, editors, or affiliates.

We make no warranties or representations, express or implied, regarding the completeness, accuracy, reliability, suitability, or availability of the information contained on this website. Any reliance you place on such information is strictly at your own risk.

This website may include links to third-party sources or content. We do not control or endorse the nature, accuracy, or availability of those external sites and are not responsible for any content or damages arising from their use.

By using this website, you acknowledge and agree that the use of AI-generated content involves inherent limitations, uncertainties and inaccuracies, and you accept full responsibility for how you interpret and use the information provided.

We reserve the right to modify, update, or remove content and this disclaimer at any time without prior notice.