Devyani International acquires Sky Gate, expands Indian cuisine portfolio

Devyani International (DIL) has announced a strategic acquisition of Sky Gate Hospitality Private Limited, significantly expanding its presence in the Indian cuisine sector. The deal involves DIL acquiring up to 80.72% equity stake in Sky Gate, along with its subsidiaries, for a total consideration of approximately INR419.6 crore. As part of the deal, DIL will issue up to 237,19,187 equity shares, at a price of INR176.78 per share, to Sky Gate's promoters and selling shareholders, in addition to remaining payments in cash, as a share swap. Sky Gate's portfolio includes popular brands like Biryani By Kilo, Goila Butter Chicken, and The Bhojan, which operate through a network of over 100 outlets across 40 cities.