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Allied Blenders and Distillers (ABDL) has commenced commercial operations at its greenfield malt distillery

ICICIdirect Research 23 Oct 2026 DISCLAIMER

News: Allied Blenders and Distillers (ABDL) has commenced commercial operations at its greenfield malt distillery in Rangapur, Telangana, with an approved manufacturing capacity of ~4.4mn bulk litres per annum. The facility will enable in-house production of malt spirit, supporting the company’s whisky portfolio and future product development.

View: The commencement of commercial operations strengthens ABDL’s backward integration strategy and reduces dependence on third-party sourcing of malt spirit, currently estimated at ~1.8–2.0mn litres annually. The new facility provides headroom to meet internal requirements and develop its own single malt whisky portfolio, supporting premiumisation. This forms part of the broader backward-integration programme, with Phase-I initiatives targeted to deliver ~300bps EBITDA margin improvement by FY28 and Phase-II projects expected to provide an incremental ~100bps improvement by FY29. These initiatives should drive structural cost efficiencies and support margin expansion over the medium term.

Impact: Positive

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