Le Lavoir Cleans Up Strategy: ₹100 Cr Bet on Shree Vrajendra Foods, Eyes Growth via Preferential Allotment

Le Lavoir Ltd, the Mumbai-based laundry services firm, is making bold moves beyond its core business. On July 2, the company announced a multi-pronged strategy to raise capital and expand into the food sector, signaling a significant diversification play.

 

The board has approved a preferential allotment of convertible warrants, targeting non-promoter investors to raise up to ₹99.84 crore. This capital infusion will partly fund its ₹100 crore investment in Shree Vrajendra Foods, a Gujarat-based player in edible oils, grains, and food retail.

 

As part of the deal, Le Lavoir has signed a Memorandum of Understanding (MoU) to acquire a 51% stake in Shree Vrajendra Foods. The acquisition will be executed through a share swap arrangement, with Le Lavoir issuing equity to the promoters of Shree Vrajendra.

 

Key Highlights:

 

Le Lavoir to raise ₹99.84 crore via preferential allotment of convertible warrants.

 

₹100 crore earmarked for strategic investment in Shree Vrajendra Foods.

51% stake acquisition to be completed through equity swap.

Shree Vrajendra operates in edible oil, grains, and food retail, including import/export.

The move marks Le Lavoir’s entry into the FMCG and agri-retail space.

Management sees the deal as a value-accretive step toward long-term diversification.

The company, formerly Radhey Trade Holding, is known for institutional laundry services.

 

This pivot could redefine Le Lavoir’s growth trajectory, blending consumer services with food sector exposure.

 

Sources: MoneyWorks4Me, SharesBazaar, Rediff MoneyWiz