Tata Consumer Products Ltd (TCPL) on Tuesday said it signed a definitive agreement to acquire a 100% stake in Kottaram Agro Foods—the producer of Soulfull brand of breakfast oats and millet-based snacks.
The organization has consented to obtain 100% of the gave and settled up value share capital of Kottaram Agro Foods for thought of Rs155.8 crore, TCPL said in a documenting to the trade.
The said obtaining is in accordance with the organization’s essential goal of going into new neighboring classifications in the food space, it said in its documenting.
The arrangement presently gives Tata Consumer Products a more grounded play in the bundled nourishments market; it as of now sells heartbeats, flavors and prepared to-cook blends under the Tata Sampann brand. It likewise sells drinks under Tata Tea, Tetley, Eight O’Clock Coffee, Tata Coffee Grand brands in India and abroad.
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The declaration underlines huge financial specialist hunger for bundled food marks that detailed lively business as the lockdown provoked more Indians to eat at home, cook more suppers and furthermore quickened appropriation of unbranded to marked nourishments.
The pandemic has additionally assisted purchaser with rotating towards sound food sources and bites.
This securing will permit TCPL to extend its item portfolio into the quickly developing ‘on-the-table’ and ‘in a hurry’ classifications and to partake in more up to date utilization events, the organization said.
The securing will open up new market openings for the organization that has been extending its dissemination in the country and building more grounded nourishments and refreshments play.
“This securing is a decent essential fit for Tata Consumer Products. It opens to us huge new market open doors in the quickly developing smaller than usual suppers sections and causes us accomplice an enthusiastic and yearning group of business visionaries who will remain and turn into a piece of Tata Consumer Products group,” said Sunil D’Souza, MD and CEO, Tata Consumer Products.
Tata Consumer Products will scale up the presence of Soulfull given the developing shopper need of sound and advantageous food alternatives.
‘Soulfull‘ was launched in 2013—it at present sells a scope of millet-based items, for example, breakfast grains and snacks, for example, Ragi Bites, Millet Muesli and so forth The brand right now has a solid presence in metropolitan business sectors of South, West, and North India.
Soulfull was established by Prashant Parameswaran, Rasika Prashant, Dr K Narayanan and Amith Sebastian. Kottaram Agro Foods posted a turnover of ₹39.38 crore in FY20.
TCPL has additionally been dealing with building its compass and dissemination in the Indian market. In May 2020, Tata Consumer Products also procured PepsiCo’s stake in NourishCo Beverages Limited—a 50:50 joint endeavor between the two organizations that housed brands, for example, Himalaya bundled water and GlucoPlus.