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2502 Asahi group News Story

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Consumer DefensivesConservativeLarge CapNeutral

India's Varun Beverages rises as brokers note strategic benefit from Asahi tie-up

BUZZ-India's Varun Beverages rises as brokers note strategic benefit from Asahi tie-up

** Varun Beverages VARB.NS shares rise 1.27% to 538.30 rupees

** Partners with Japan's Asahi Group 2502.T to manufacture, distribute and sell CALPIS dairy-based beverage brand in India

** CLSA ("high-conviction outperform", TP: 654 rupees) says VARB's manufacturing and distribution network should allow it to scale third-party brands efficiently

** Axis Capital ("add", TP: 585 rupees) says partnership could trigger potential re-rating, though near-term revenue contribution is likely to be modest

** Goldman Sachs ("buy") says alliance could open opportunities in adjacent categories and geographies and tap rising demand for healthier drinks

** Average rating by 25 analysts on stock is "Buy", median TP 596.50 rupees - LSEG-compiled data

** YTD stock up about 9.5%


(Reporting by Surbhi Misra in Bengaluru)

((Surbhi.Misra@thomsonreuters.com | X: https://twitter.com/SurbhiMisra_ |;))

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