Synopsis:
Mukka Proteins Limited, a leading player in the alternative protein and animal feed sector, continues its strategic expansion by investing in innovative protein and waste-processing solutions. Company acquired 51% equity stake in FABBCO Bio Cycle and Bio Protein Technology Private Limited (“FABBCO”), making the company a subsidiary.
This company manufactures Fish Protein products and supplies fish meal, fish oil and fish soluble paste which is an essential ingredient in manufacturing of aqua feed (for fish and shrimp), poultry feed (for broiler and layer) and pet food (dog and cat food) and now it has acquired stake in FABBCO to strengthen its footprint in the Insect Protein segment, in line with its long-term growth objectives.
With market capitalization of Rs. 834 cr, the shares of Mukka Proteins Limited are currently trading at Rs. 28.04 per shares, surging more than 6% in today’s market session, making a high of Rs. 28.59 from its previous close of Rs. 26.84 per share.
News
Mukka Proteins Limited has completed the acquisition and subscription of 4,858 equity shares of FABBCO Bio Cycle and Bio Protein Technology Private Limited (“FABBCO”), each with a face value of Rs. 1,000 and a premium of Rs. 11,250 per share.
This represents 51% of the issued and paid-up equity share capital of the Investee Company, for a total consideration of Rs. 5.95 Crores. Following this acquisition, FABBCO has become a subsidiary of Mukka Proteins Limited.
FABBCO, incorporated on 29th June 2023, is engaged in the manufacturing of animal feed and processing of all kinds of waste. The company had a turnover of Rs. 77.97 lakh and a net loss of Rs. 53.25 lakh for FY 2023-24.
The acquisition was carried out entirely in cash, with 2,436 shares subscribed directly by Mukka Proteins and 2,422 shares acquired from existing shareholders. This investment is part of Mukka Proteins strategic plan to expand its Insect Protein business, providing operational and technological synergies.
The acquisition gives Mukka Proteins a controlling stake in FABBCO, supporting the Company’s growth and diversification into the alternative protein sector, with operations based entirely in India.
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About the company
Mukka Proteins Limited is an innovative company in the alternative protein and animal feed sector, focusing on sustainable and high-quality protein solutions. The company specializes in the production of insect-based protein and related feed products, aiming to address the growing global demand for environmentally friendly and nutritionally rich protein sources. Mukka Proteins is expanding its footprint through strategic investments and acquisitions in complementary businesses.
As of Q1FY26, the company’s sales declined slightly by 1%, reaching Rs. 171 crore compared to Rs. 172 crore in Q1FY25. EBIDT increased marginally by 1% to Rs. 14.1 crore. However, net profit fell significantly by 64% to Rs. 1.59 crore, resulting in an EPS of Rs. 0.05, down from Rs. 0.14 a year ago.
Written by Manideep Appana
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