Zydus Wellness Shares Surge 15% in a Week After £239 Million UK Acquisition

Mumbai, September 3, 2025 – Zydus Wellness Ltd (BSE: 531335, NSE: ZYDUSWELL) continued its rally on Wednesday, rising 2.91% to ₹2,319.35 at 15:01 IST, after announcing its first-ever acquisition overseas last week. The stock climbed 15.27% over the previous week, for a gain of ₹307.20 per share, after the company entered the vitamins and supplements market in Europe.

Key Market Performance

On September 3, 2025, at 3:01 PM IST, at ₹2,329.40, showing a weekly change of ₹75.90 (3.37%). It had a previous close of ₹2,253.85. During the session, the stock traded to a new 52-week high of ₹2,346.45, also well above the old low of ₹1,493.00. The stock has a market cap of ₹14,758.52 crore and a P/E of 470.46, and the volume is highly active (above the 2-week average).

Key Details of the Acquisition

Zydus Wellness purchased Comfort Click Limited. Zydus Wellness, via its subsidiary Alidac UK Ltd in the United Kingdom, on August 29, 2025, acquired Comfort Click Limited (CCL). This involved the sale of 100% of Class A shares and Class B shares, 71.43% of Class C shares, and 66.67% of Class D shares, making CCL a complete step-down subsidiary of Zydus Wellness. The firm was sold for £239 million, including any post-completion profit adjustments.

CCL reported unaudited revenue of £134million (₹1,420 crore) and EBITDA of £21million in FY25, which shows revenue growth of almost 57% over a period of five years. CCL is in the Vitamins, Minerals and Supplements (VMS) sector and has three core brands: World Walt, maxmedix and Animigo. CCL offers digital and direct-to-consumer sales primarily in the UK and Europe, and is pursuing the US market aggressively.

Management Commentary

Dr. Sharvil Patel, Chairman, Zydus Wellness, said:

“This strategic move strengthens our global capabilities and deepens our presence in digital health and personalised wellness. With Comfort Click, we are shaping scalable and sustainable models for the future of wellbeing.”

Tarun Arora, CEO & Whole-Time Director, added:

“The acquisition aligns with our vision to expand internationally while reinforcing our leadership in consumer-centric wellness. Comfort Click brings a digital-first portfolio that enhances our growth trajectory.”

Strategic Outlook

The acquisition represents the first international expansion from Zydus Wellness and provides entry into the £11 billion European Vitamins, Minerals, and Supplements (VMS) market through Comfort Click. The deal allows Zydus to augment its global footprint and improve its online distribution model, leveraging Comfort Click’s robust digital-first and direct-to-consumer presence. The acquisition should also be Cash EPS accretive, contributing positively to Zydus’ overall financial performance. The strategic acquisition diversifies Zydus’ portfolio and positions the company to pursue expansion opportunities across Europe and the developing international markets.

Zydus Wellness Ltd is a leading health and wellness company based in Ahmedabad, with its primary focus on Food & Nutrition (Complan, Glucon-D, Sugar Free, Nutralite, Ritebite) and Personal Care (Nycil, Everyuth). It is part of the BSE 500 index and classified in the Packaged Foods category.

REF: https://nsearchives.nseindia.com/corporate/ZYDUSWELL_29082025210405_SEintimationSimbaFinal.pdf

Disclaimer: At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations