Tata Consumer Products Limited (TCPL) has signed definitive agreements to acquire 100% equity shares of Kottaram Agro Foods (KAF), owner of the brand ‘Soulfull’. This move is consistent with TCPL’s strategic intent to expand its product portfolio, and participate in multiple consumption occasions.
KAF was founded by Prashant Parameswaran, Rasika Prashant, Dr K K Narayanan and Amith Sebastian and the brand ‘Soulfull’ was launched in 2013. The brand operates in the Health and Wellness focused food segment with a portfolio of millet-based products for kids and adults.
It is one of the fastest growing brands in India’s ‘better for you’ packaged foods market. The brand currently has a strong presence in select urban markets in South, West, and North India. With rich expertise in ancient millets like ragi, the brand has an innovative portfolio of products such as cereals, healthy snacks, muesli, and plant-based protein drinks.
This acquisition will allow TCPL to expand its product portfolio into the fast growing ‘on the table’ and ‘on the go’ categories and to participate in newer consumption occasions. There are also significant synergies possible with the existing business of TCPL in areas spanning distribution, procurement, and logistics. Additionally, the TATA name would further enhance the brand’s credentials with consumers.
Tata Consumer Products MD and CEO Sunil D’Souza said, “This acquisition is a good strategic fit for Tata Consumer Products. It opens to us significant new market opportunities in the fast-growing mini meals segments and helps us partner a passionate and ambitious team of entrepreneurs who will remain and become a part of Tata Consumer Products team.”
The transaction is expected to be completed in the fourth quarter of FY 2021.
Tata Consumer Products Limited is a focused consumer products company uniting the principal food and beverage interests of the Tata Group under one umbrella. The company’s portfolio of products includes tea, coffee, water, salt, pulses, spices, and ready-to-cook offerings.
Tata Consumer Products is the second largest branded tea company in the world. Its key beverage brands include Tata Tea, Tetley, Eight O’Clock Coffee, Tata Coffee Grand, Himalayan Natural Mineral Water, Tata Water Plus and Tata Gluco Plus. Its foods portfolio includes brands such as Tata Salt and Tata Sampann. In India, Tata Consumer Products has a reach of over 200 million households. The company has an annual turnover of Rs 10,000 crore with operations in India and International markets.
