ITC board approves merger of wholly owned subsidiary Sproutlife Foods
ITC said in an NSE filing that its board approved merging Sproutlife Foods, the maker of the Yoga Bar brand, into the company from 1 April 2026, subject to approvals and with no new shares issued.
Key points
- ITC said its board on 2 November 2026 approved a scheme to merge its wholly owned subsidiary Sproutlife Foods Private Limited into ITC.
- The scheme takes effect from 1 April 2026 and is subject to necessary approvals; ITC will issue no new shares and its shareholding pattern will not change.
- Sproutlife had total assets of Rs 150.07 crore and turnover of Rs 451.71 crore in 2025-26, per the filing.
Photo: Benjamin Child bchild311 / Wikimedia Commons, CC0 1.0 (cropped). Representational image.
ITC said in a filing with the National Stock Exchange on 2 November 2026 that its board has approved a scheme to merge Sproutlife Foods Private Limited, its wholly owned subsidiary, into ITC. The scheme is under Sections 230 and 232 of the Companies Act, 2013, will take effect from 1 April 2026, and is subject to necessary approvals. ITC will issue no new shares.
What Happened
ITC's board met on 2 November 2026 and approved the Scheme of Amalgamation of Sproutlife Foods Private Limited with the company. Sproutlife is the transferor company, which will merge into ITC, the transferee company. The filing says the scheme is subject to necessary approvals; it does not list them.
According to the filing, Sproutlife is mainly engaged in making and selling food products, including bars, muesli, oats, protein-rich foods and peanut butter, under the digital-first brand Yoga Bar.
The filing gives size figures from the audited standalone financial statements for 2025-26. Sproutlife had total assets of Rs 150.07 crore, turnover of Rs 451.71 crore and net worth of Rs 5.22 crore. ITC had total assets of Rs 88,915.86 crore, turnover of Rs 80,867.49 crore and net worth of Rs 68,434.16 crore.
Because Sproutlife is wholly owned, all its equity shares held by ITC and its nominees will be cancelled when the merger takes effect, and ITC will not issue fresh shares. There will be no change in ITC's shareholding pattern. The filing says Sproutlife is a related party of ITC, and that the transfer of its assets, liabilities, rights, obligations and employees to ITC will be at arm's length.
The company gave these reasons for the merger: to integrate the businesses and realise synergies, to deploy financial, managerial and operational resources better, to use cash flows and financial resources more efficiently, and to reduce the number of operating entities and simplify the group structure.
What It Means
For ITC shareholders, the filing says there will be no new shares and no change in shareholding. For Sproutlife's business, the Yoga Bar brand would be run directly by ITC if the scheme is approved. The filing sets the effective date as 1 April 2026, but the scheme still needs the approvals it refers to, so it is not complete. This report states what the filing records and is not investment advice.
Oquilia Data: ITC Ltd. (NSE: ITC)
| Close, 2 Nov 2026 | Rs 266.40 (+0.30% on the day) |
|---|---|
| Return 1M / 3M / 6M / YTD / 1Y | +4.10% / −5.20% / −15.40% / −33.90% / −36.62% |
| Against Nifty 50, 1M / 3M / YTD | −0.44 / −1.33 / −23.61 points |
| 52-week closing high / low | Rs 413.95 (3 Nov 2025) / Rs 255.00 (8 Oct 2026) |
| Turnover, 20-session average | Rs 612.59 cr; 55.1% delivered; latest volume 0.6x |
Closes adjusted for splits and bonuses; returns exclude dividends. Facts from NSE's files, not investment advice.
Full record: ITC share price on Oquilia
Source: Company filing on NSE
Sources & Citations
- Company filing on NSE — National Stock Exchange of India