On Tuesday, Suumaya Industries Ltd has acquired a 51 per cent stake in agri-tech payAgri Innovations in order to expand its start-up farm business. However, the company did not reveal the deal value. Suumaya Industries, a textile venture has currently explored agri-commodity business through its 100 per cent subsidiary unit Suumaya Agro Ltd.
Suumaya Industries in Mumbai, with an individual listing in NSE, had proposed a net profit of Rs 406 crore and a revenue of around Rs 4,263 crore during the past fiscal.
The company, through this subsidiary, has acquired a majority of 51 per cent stake in payAgri Innovations Pvt Ltd, a tech-driven Agri and food business firm that seeks to address the problems of farmers, processors and consumers in the Agri value chain, Suumaya Industries averred in a statement.
Ushik Gala, Chairman and Managing Director at Suumaya Industries, asserted that the company has embarked on an ambitious journey with Suumaya 2.0 strategy.
“Diversifying into the agribusiness is a new pathway for the company which is unfolding new opportunities and markets for us. The company has already made substantial inroads into the segment and we are almost certain that this highly scalable and sustainable business would be the next big growth engine for the company,” he added.
“The capital infusion by Suumaya Industries will help drive the growth and expansion of payAgri as a farmer-centric value chain focused hybrid bulk & retail supply chain model,” Gala further stated.
“The investment in payAgri not only underlines our commitment to exponentially grow the agri-business but also see huge potential in the new commerce agri-fintech which will further boost the digital ecosystem for millions of farmers, consumers and agro and food MSMEs,” Gala said.
The total strength of Farmer Producer Organisations (FPOs) registered with payAgri are 70 in all against the overall 70,000 quantity of farmer members and adding to this division, products specified on payAgri online Market are only 210.
