Sarveshwar Foods shares rise over 3% after board approves acquisition of Himalayan Ancient Foods

Sarveshwar Foods shares moved over 3% higher after the company informed stock exchanges about key decisions taken at its Board meeting held on Tuesday, December 16, 2025. The positive reaction came after the Board approved the acquisition of 100% equity share capital of Himalayan Ancient Foods Private Limited, a move aimed at strengthening the company’s long-term agri-focused strategy. As of 9:38 AM, the shares were trading 2.60% higher at Rs 4.34.

In its regulatory filing, Sarveshwar Foods Limited confirmed that Himalayan Ancient Foods Private Limited will become a wholly owned subsidiary following the completion of the transaction. The acquired entity will be used as a Special Purpose Vehicle (SPV) for undertaking, executing and implementing the Holistic Agriculture Development Programme (HADP) project, along with other allied and incidental activities linked to the initiative.

Himalayan Ancient Foods Private Limited was incorporated on February 5, 2015, under the Companies Act, 2013, and has its registered office in Bari Brahmana, Jammu & Kashmir. As per its financial statements for the year ended March 31, 2025, the company has a paid-up equity share capital of ₹1,00,000 and reported nil turnover, indicating that the acquisition is strategic in nature rather than revenue-driven at this stage.

The transaction has been classified as a related party transaction due to common directorship and promoter interest between Sarveshwar Foods Limited and Himalayan Ancient Foods Private Limited. However, the company clarified that the acquisition has been carried out on an arm’s length basis. It has received the necessary approvals from the Audit Committee and the Board of Directors, in compliance with the provisions of the Companies Act, 2013 and SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations.

Sarveshwar Foods will acquire 1,000 equity shares of Himalayan Ancient Foods Private Limited at a face value of ₹100 per share, resulting in a total cash consideration of ₹1,00,000. Upon completion, Sarveshwar Foods Limited will hold 100% of the paid-up equity share capital of the entity.

The company also stated that no governmental or regulatory approvals are required for completing the acquisition. The transaction is expected to be concluded within a mutually agreed timeframe, subject to completion of customary formalities.

In addition to approving the acquisition, the Board also cleared the execution of the Share Transfer Deed in Form SH-4 and other related documentation necessary to give effect to the transfer and registration of shares.

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