Godrej Industries explores consumer, animal feed acquisitions as valuations stay high

 Indian conglomerate Godrej Industries is actively exploring acquisitions in the consumer goods and animal feed segments, even as valuations of emerging players remain elevated, Group Chair Nadir Godrej said on Friday (January 23, 2026) on the sidelines of the World Economic Forum (WEF) annual meeting.

Godrej said the group remains focused on expanding in fast-growing categories where it can build scale through a mix of organic growth and targeted deals.

M&A focus: consumer brands and agri-linked businesses

“We are constantly looking for acquisitions,” Nadir Godrej said, adding that the group continues to scan opportunities in consumer categories and animal feed-linked segments.

The remarks come as deal activity in India’s consumer and retail space has picked up, driven by large groups chasing growth in new-age brands and premium product categories.

Muuchstac deal seen as template for future buys

The group’s latest major consumer acquisition was executed through Godrej Consumer Products Ltd (GCPL), which acquired men’s grooming brand Muuchstac in November 2025 in a ₹450 crore transaction.

GCPL’s own disclosures showed that over the 12 months ending September 2025, Muuchstac recorded approximately:

• ₹80 crore in revenue
• ~₹30 crore EBITDA (adjusted)

Company filings also indicated the founders continue to run the business after the acquisition.

Dealmaking rises as India consumption story stays strong

India’s consumer and retail M&A momentum hit a four-year peak during January–September 2025, according to investment bank Equirus Capital.

The acquisition optimism is also supported by the macro outlook. The International Monetary Fund (IMF) on January 19, 2026 raised India’s FY2026 GDP growth forecast to 7.3%, citing strong momentum.

Trade uncertainty remains — but demand outlook intact

Godrej acknowledged that global trade volatility and policy uncertainty continue to impact certain export-oriented businesses. However, Nadir Godrej said domestic demand remains resilient and any pressure in select markets is being offset by diversification into other regions.

Separately, the group continues to pursue growth across verticals including consumer products, agri-business, and real estate, as India’s middle-class consumption expands.

Why This Matters

Godrej’s acquisition interest reflects a broader shift in Indian corporate strategy: large, diversified groups are increasingly willing to pay premium valuations for high-margin niche brands, especially digital-first consumer businesses with strong profitability.

If this trend holds, 2026 could see a new wave of consolidation in India’s FMCG, personal care, and agri-linked sectors — reshaping competition and deal pricing.

Summary

• Godrej Industries is exploring acquisitions in consumer goods and animal feed, Nadir Godrej said at Davos.
• GCPL acquired men’s grooming brand Muuchstac in Nov 2025 for ₹450 crore.
• Muuchstac recorded ~₹80 crore revenue and ~₹30 crore EBITDA (TTM Sept 2025), per company disclosures.
• IMF raised India’s FY26 growth forecast to 7.3% in its Jan 19 update.

FAQs

Q1: What sectors is Godrej targeting for acquisitions?

Godrej said it is scanning deals in consumer goods and animal feed segments.

Q2: What was the Muuchstac deal value?

Godrej Consumer Products acquired Muuchstac in a ₹450 crore transaction in November 2025.

Q3: Why are consumer deals rising in India?

Investor and corporate interest has increased as India’s domestic consumption remains resilient and premium categories continue to grow.

Q4: What is India’s FY26 growth forecast now?

The IMF raised India’s FY26 GDP growth forecast to 7.3% on January 19, 2026.

Q5: What is Godrej Trilogy?

Godrej Properties has projected more than ₹10,000 crore revenue potential from its ultra-luxury Worli housing project called Godrej Trilogy.