Synopsis:
Bikaji Foods received an ED summons regarding the Rajasthan Premier League, clarifying its involvement was limited to sponsorship for brand promotion, with all payments properly documented and fully cooperative with authorities.
Shares of the third largest ethnic snacks company in India and the second fastest growing company in the Indian organised snacks market are in focus on Wednesday, following its clarification regarding the ED summons issued to its Managing Director in connection with the Rajasthan Cricket Association.
At 11:26 a.m., the shares of Bikaji Foods International Limited were trading in the green at Rs. 778.2 on BSE, up by around 1.1 percent, as against its previous closing price of Rs. 769.75, with a market cap of Rs. 19,501 crores. The stock has delivered negative returns of around 10 percent in the last one year, but has gained by nearly 8 percent in the last one month.
What’s the News
On 9th September, Bikaji Foods International Limited received a summon from the Directorate of Enforcement (ED), Ministry of Finance, Government of India. The summons requests the in-person presentation of the Managing Director, on behalf of the company, before the authority in connection with an inquiry under the Prevention of Money Laundering Act, 2002 (PMLA).
In its filings, the company clarified that the summons is related to an ongoing investigation by the ED under the PMLA concerning a matter linked to the Rajasthan Premier League conducted by the Rajasthan Cricket Association.
The company, along with the other parties associated with the Rajasthan Premier League, has been directed to present its MD in person and submit relevant documents connected with the Rajasthan Cricket Association Transaction.
Bikaji Foods affirmed that its involvement in the Rajasthan Premier League was limited to event sponsorship. The sponsorship was undertaken as part of its regular business activities to promote brand visibility and support business development. The company emphasised that it had no role in the management, operations, or conduct of the event beyond providing sponsorship.
The company further clarified that all payments made toward the sponsorship were properly documented, accounted for, and processed through authorised banking channels. Complete records of the sponsorship transaction have been maintained and will be made available to the ED for inspection as required. Bikaji Foods remains fully committed to cooperating with the authorities and complying with all applicable legal requirements in this matter.
Financials & more
Bikaji Foods reported a significant growth in its revenue from operations, showing a year-on-year increase of around 14 percent from Rs. 572 crores in Q1 FY25 to Rs. 653 crores in Q1 FY26. Likewise, its net profit increased during the same period from Rs. 58 crores to Rs. 59 crores, representing a slight rise of around 2 percent YoY.
Bikaji Foods International Limited is primarily involved in the business of manufacturing, purchasing and sale of snack food. Its product range includes six principal categories: bhujia, namkeen, packaged sweets, papad, western snacks, as well as other snacks, which primarily include gift packs (assortment), frozen food, mathri range, and cookies.
As of March 2025, the company has operations in 28 states and 7 union territories in India, and also exports its products to 43 international countries, including North America, Europe, the Middle East, Africa, and the Asia Pacific.
Written by Shivani Singh
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