Coca-Cola acquires 15% stake in Hashtag Loyalty, a Jubilant Foodworks arm

18 Apr 2023 , 09:38 AM

In the exchange filing on Monday, Jubilant FoodWorks has said that Coca-Cola has acquired 15% stake in Hashtag Loyalty Private Limited, associate of Jubilant FoodWorks Limited. The company has entered into securities subscription agreement on April 17 with Coca-Cola India Private pursuant to which the new investor has acquired 15% stake in Hashtag.

After this, JFL’s stake in Hashtag has reduced from 35% to 29.75% (on a fully diluted basis). Hashtag has raised the capital at a pre-money valuation of Rs 104.68 crore, the company said in an exchange filing.

‘As part of the transaction, the company has entered into a shareholders agreement dated April 17, 2023, with Hashtag, New Investor, and other existing investors of Hashtag and there is no adversarial change in the rights granted to the company as enunciated in the stock exchange disclosure by the company dated October 27, 2021, at the time of acquisition of the initial stake,’ the company said.

With this partnership, Hashtag Loyalty will be able to accelerate its restaurant reach and acquire consumers through various Coca-Cola India assets. Currently, over 14,000 restaurants across 80 cities in India use Thrive.