FII, DII Boost Stakes in AWG Agri Business Amid Growth

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FII and DII Boost Stakes in AWG Agri Business Amid Robust Growth Prospects

By S Jha

Mumbai, April 18, 2025: AWG Agri Business Limited or Adani Wilmer has caught the attention of institutional investors. The Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) have significantly increased their stakes in the company during the December 2024 quarter.

Analysts claimed that the surge in institutional interest reflects growing confidence in AWG’s business model, strong financial performance, and its strategic positioning in the fast-growing agri-business market.

According to the latest shareholding pattern disclosed for the quarter ending December 2024, FIIs increased their stake in AWG Agri Business by 2.8 per cent to 12.4 per cent, while DIIs raised their holding by 1.9 per cent to 8.6 per cent.

This follows a trend of consistent institutional buying over the past two quarters, with FIIs and DIIs collectively owning 21 per cent of the company, up from 16.3 per cent a year ago. The Economic Times reported, “AWG Agri Business has emerged as a favoured pick among institutional investors, with FIIs and DIIs betting on its growth in the agricultural value chain.”

A report by Fortune India noted that DIIs, including mutual funds and insurance companies, have been narrowing the gap with FIIs in NSE-listed firms, with their share in companies like AWG rising due to strong domestic inflows. Market analysts attribute this interest to AWG’s diversified portfolio, government-backed agricultural initiatives, and its focus on sustainable practices, which resonate with global and domestic investment priorities.

AWG Agri Business: Company Profile

AWG Agri Business Limited, headquartered in Hyderabad, operates across the agricultural value chain, encompassing seed production, crop protection, food processing, and agri-tech solutions. Established in 2010, the company has grown into a mid-cap entity with a market capitalization of approximately ₹3,200 crore as of April 2025.

Its core segments include:

Seed and Crop Inputs: AWG develops high-yield hybrid seeds and eco-friendly crop protection products, catering to farmers across India’s key agricultural belts.
Food Processing: The company processes and markets packaged foods, including rice, pulses, and ready-to-eat products, with a growing presence in both domestic and export markets.
Agri-Tech: AWG has invested in precision farming technologies, such as IoT-based soil monitoring and drone-assisted crop management, aligning with India’s push for smart agriculture.
Supply Chain: The company operates a robust cold storage and logistics network, ensuring efficient delivery of perishable goods.

AWG’s client base spans smallholder farmers, large agribusinesses, and retail chains, with exports to Southeast Asia, the Middle East, and Africa. Its focus on sustainability, including organic farming and water-efficient irrigation, has positioned it as a leader in India’s transition to climate-resilient agriculture. The company employs over 2,500 people and operates 12 processing units and 25 cold storage facilities across India.

Analysts are bullish on AWG’s growth trajectory, citing India’s increasing agricultural exports, favourable monsoon forecasts, and government schemes like the PM Kisan and Agri Infra Fund.

A report by Equitymaster highlighted that companies like AWG, with exposure to high-growth segments like agri-tech and food processing, are likely to benefit from FIIs’ preference for globally competitive sectors.

However, risks such as volatile commodity prices, regulatory changes, and weather-related disruptions could pose challenges.

However, retail investors should exercise caution. While FII and DII buying signals confidence, it is not a guaranteed predictor of future performance.

Stockedge.com advises, “Retail investors can follow FII/DII footprints but should complement this with fundamental analysis, as institutional moves are just one piece of the puzzle.”

(Disclaimer: This article makes no recommendation for buy or sell of shares of any company)

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