Diageo takes strategic stake in Indian craft gin maker

Diageo India has acquired a strategic minority stake in Nao Spirits & Beverages, an emerging craft gin company.

Diageo will invest Rs. 315 million (£3.16m) for 22.5 per cent of the equity share capital of the company on a fully diluted basis and a call option to acquire the remaining shares on pre-agreed principles.

Launched in 2016 by Anand Virmani, with the dream of bringing an Indian botanical infused gin to the world, Nao Spirits portfolio includes the brands ’Greater Than’ and ’Hapusa’.

Greater Than, billed as India’s first craft gin, is made from 9 botanicals from India and around the world and is the only London Dry Gin from South Asia recognized by the Gin Guild, UK.

Luxury gin Hapusa is one of the few craft gins in the world made with foraged Himalayan Juniper and unique botanicals such as fresh turmeric, Gondhoraj peel and raw mango which are native to India, to create a bold and earthy gin.

Both gins are available in the UK.

Diageo said Nao Spirits provides them with an opportunity to strengthen its participation in the fast-growing premium gin segment in India.

“As a company built from founder-led brands, we are excited to make our first move in India to support bold and path-breaking entrepreneurs,” Hina Nagarajan, managing director and chief executive of Diageo India, said.

“Over the last three years, the Indian market has witnessed the emergence of multiple craft gin players and Nao Spirits has been a game changer in the category. Our team is deeply committed to supporting Anand Virmani, Aparajita Ninan & Abhinav Rajput, who will continue to run the business, to deliver Nao’s vision of placing Indian craft gin amongst the world’s most coveted craft spirits.”

Anand Virmani, co-founder and chief executive of Nao Spirits & Beverages, commented: “We are delighted to partner with a company like Diageo which has supported craft spirits brands. This investment is a validation of the hard work, creativity, grit and passion of our team. As we look to chart the next phase of growth of Nao Spirits, the investment from Diageo India will help scale our business, improve efficiencies, and access mentorship from an industry leader, which will be immensely valuable.”