Japanese beverage firm Suntory is planning to purchase around 20% stake in India-based alcoholic drinks company Radico Khaitan's liquor unit for about $100m.
The move forms part of the company's strategy to increase its sales outside Japan, as the country's beer market is reporting slow growth due to declining population.
The proposed transaction will be the latest in a series of Suntory's investments.
Radico Khaitan manufactures and sells liquor primarily in India. Its principal products include rectified spirits, country liquor, and Indian made foreign liquor.
Earlier in January 2014, Suntory has agreed to purchase US-based whiskey producer Beam for $16bn.
Suntory manufactures and sells beverage and food products in China, Japan, Southeast Asia, Oceania, the Americas, and Europe. It operates through Beverages and Foods, and Beer and Spirits.
