PVR INOX Ltd has fully exited premium snacking brand 4700BC, selling its entire stake in Zea Maize Pvt. Ltd to Marico Ltd in an all-cash transaction valued at ₹226.8 crore, marking a clean break from a decade-long investment outside its core cinema business.

From cinema popcorn to a multi-channel snacking brand

Under the deal, Marico will acquire a 93.27% stake in Zea Maize—which owns the 4700BC brand—from PVR INOX, while Founder Chirag Gupta will retain a minority stake and continue to lead operations. The transaction positions Marico firmly in the fast-growing premium snacking space, even as it sharpens its foods portfolio beyond staples and health-led categories.

PVR INOX had invested in Zea Maize at an early stage, incubating the brand within its cinema ecosystem before supporting its expansion into modern trade, e-commerce, quick commerce, and institutional channels. What began as a gourmet popcorn brand closely associated with movie theatres has since evolved into a wider premium snacking platform spanning popcorn, popped chips, makhana, crunchy corn, and nachos.

Commenting on the exit, Ajay Bijli, Managing Director, PVR INOX, said the company had backed the brand through its formative years. “From a niche gourmet popcorn offering, it has grown into a nationally recognised premium snacking brand. As it looks to scale further and broaden its ambition, the brand is well positioned under the stewardship of a scaled FMCG leader like Marico,” he said, adding that the transaction marks the “natural culmination” of PVR INOX’s strategic role and enables it to monetise a non-core asset.

Strategic realignment for PVR INOX, food push for Marico

The divestment follows a strategic review by PVR INOX aimed at unlocking shareholder value, strengthening the balance sheet and reallocating capital to its core exhibition business. The company said the sale will not materially impact its in-cinema food and beverage revenues, a key profitability lever for multiplex operators. Management expects the transaction to be accretive to profits, free cash flows, and return ratios.

For Marico, the acquisition aligns with its stated ambition to scale participation in high-growth food categories through differentiated brands. While foods remain a smaller contributor compared to its flagship beauty and wellness portfolio, Marico has been steadily building exposure through brands such as Saffola, True Elements, and Plix.

“The investment in 4700BC aligns well with Marico’s ambition to participate in fast-growing food categories through distinctive, future-ready brands,” said Saugata Gupta, Managing Director and CEO, Marico. “We see immense potential in 4700BC as a premium snacking brand with deep consumer connect and proven execution.”

Founded in 2013, 4700BC is often credited with pioneering gourmet popcorn in India and carving out a niche among affluent, younger consumers seeking contemporary snack options. Marico plans to leverage its FMCG distribution muscle, sourcing capabilities, and product development engine to accelerate the brand’s next phase of growth, including new category launches, while keeping its premium positioning intact.

Founder Chirag Gupta said the partnership marks a turning point for the brand. “While PVR INOX has played a pivotal role in building scale and credibility, Marico’s FMCG expertise will be instrumental as 4700BC enters its next chapter,” he said.

Explaining the timing of the exit, Gaurav Sharma, Chief Financial Officer, PVR INOX, said the brand had reached a stage where its next phase of growth required deeper FMCG capabilities. “4700BC has scaled well beyond cinemas, with over 80% of its revenues now coming from outside PVR INOX theatres. At this scale, the business needs wider distribution, faster product expansion, and greater capital support, which is better provided by a large FMCG platform,” he told Fortune India, adding that the transaction also represented a timely monetisation of a non-core asset for the multiplex operator.

Axis Capital acted as the exclusive financial advisor to PVR INOX on the deal, while Shardul Amarchand Mangaldas & Co served as legal counsel.

The transaction underscores a broader trend of cinema operators pruning non-core assets to sharpen focus on profitability, even as FMCG majors selectively acquire premium, digitally native food brands to capture evolving consumption patterns.