Chennai based Amrutanjan Health Care Ltd. has planned to acquire soft-drink and fruit beverage business of Siva' Soft Drink Private Ltd. This acquisition will also hand popular brand currently owned by Siva's Soft Drink, Fruitnik.

Fruitnik is a pulp-based flavored fruit drink. This brand was launched in 1958 and is popular brand in southern India.

Established 118 years before, Amrutanjan Health Care owns popular Amrutanjan pain relief brand. Besides this pain relief, company has variety of health care products in market. With this acquisition, company showed its commitment to enter and expand food and beverage market. This acquisition is worth Rs. 262 million, company said in a filing to the stock exchange.

Company said that this acquisition is a part of its strategy of growing business to India level from Tamil Nadu. Company also revealed that they have further plans of growing business to have a pan India presence in both health care and food & beverages market.

However, entering in flavored soft drink business will be a new line for company; they are still looking forward to it. Stock market soon reacted to this and Amrutanjan share prices rose by 9.62%, when market was down by 0.34%. Despite an increase in revenue, Amrutanjan saw a dip of 3.5%. Company's revenue grew from Rs. 273.8 million to Rs. 342.2 million in the Q4.