Allied Blenders calls off Tilaknagar acquisition

Allied Blenders & Distillers has confirmed its negotiations to acquire Tilaknagar Industries have been cut short after the companies failed to agree a price.

Allied Blenders & Distillers has called off its bid to acquire Mansion House brandy maker Tilaknagar Industries

It was revealed last month that both Indian firms were in final discussions to agree the takeover, prompting a share spike for Tilaknagar, producer of Mansion House brandy.

Reports claimed that Amit Dahanukar, chairman and managing director of Tilaknagar Industries, met with Kishore Chhabria, chairman of ABD, in London to finalise the deal.

However, negotiations deteriorated and the deal is now off the table.

Deepak Roy, outgoing CEO of ABD, said in a brief statement to The Spirits Business: “The deal did not materialise on the grounds of the significant difference in their expectations and our offering.”

It was recently revealed that Roy had been replaced by Anupam Datta as CEO of the company, and would move to the singular role of vice chairman.

In August last year, ABD acquired a 50% stake in the South Asia region for Mansion House, giving the group the right to manufacture and distribute Mansion House in India and South East Asia.

Dutch drinks group Herman Jansen has been trapped in a seven year battle with Tilaknagar Industries over the marketing rights of the brand.

ABD produces the world’s best-selling whisky brand Officer’s Choice, which was recently named Indian Whisky Brand Champion 2015 by The Spirits Business.