India’s “Magic Moments” maker invests $4.56 million to enter the luxury tequila market, joining forces with Bollywood royalty and startup mavericks in a venture poised to tap India’s growing appetite for premium spirits.
Radico Khaitan, the Indian liquor giant best known for its iconic Magic Moments vodka, is making a high-profile entry into the premium tequila segment. The company will invest up to $4.56 million and collaborate with Bollywood superstar Shah Rukh Khan and Zerodha co-founder Nikhil Kamath to launch an ultra-premium tequila label — D’YAVOL Añejo.
This strategic move marks Radico Khaitan’s debut in the tequila category, further expanding its premium portfolio that already includes Rampur Indian Single Malt and Jaisalmer Indian Craft Gin.
A New Luxury Spirit on the Horizon
The new offering, D’YAVOL Añejo, is a premium spirit crafted from agave and aged for about two years in wine casks. The brand is set to roll out by December 2025, with prices ranging between ₹20,000 ($228) and ₹30,000 ($342) depending on state excise duties, according to Radico Khaitan Managing Director Abhishek Khaitan.
D’YAVOL itself is a luxury brand launched in 2022 by Shah Rukh Khan’s son Aryan Khan, along with Leti Blagoeva and Bunty Singh. Headquartered in Amsterdam, the brand already offers premium vodka, blended malt Scotch whisky, and a high-end streetwear line.
Tapping a Booming Market
The launch of D’YAVOL Añejo comes at a time when affluent Indian consumers are increasingly spending on luxury dining, premium alcohol, upscale homes, and high-end cars. According to analytics firm Crisil, India’s alcohol market is projected to grow by as much as 10% to reach $61.35 billion by fiscal 2026.
Tequila, in particular, is one of the fastest-growing categories globally — and India is quickly catching up. The domestic tequila market currently stands at around 300,000 cases, with the Añejo category accounting for about 15%.
Khaitan sees huge potential:
“We believe that in the next five years, tequila can reach a volume of about a million cases in India plus global markets, so I think it was a great opportunity,” he told Reuters.
The Powerhouse Partnership
Under the new venture, Radico Khaitan and the Khan family will each hold a 47.5% stake, while Nikhil Kamath will own 5%. The alliance combines Radico’s decades of alcobev expertise with the global appeal of Shah Rukh Khan and the business acumen of Kamath.
The timing also signals intensifying competition in India’s premium liquor segment. Just three weeks ago, Tilaknagar Industries acquired the popular Imperial Blue whisky brand from Pernod Ricard for $486 million.