ITC Ltd, a diversified business entity, announced on Sunday that it will fully acquire the spice manufacturer Sunrise Foods Private Ltd (SFPL). While the company did not disclose the value of the deal, sources said it is valued around Rs 1,800 crore to Rs 2,000 crore.
The company said it has signed a SPA share purchase agreement with SFPL which will increase its product portfolio and also align with its ambition to significantly scale up its spices trade and expand its presence across the country.
"Sunrise is the market leader in eastern India in the fast-growing spice category with rich heritage and brand legacy for over 70 years," ITC said in a statement.
Over the years, the brand has created a franchise for loyal customers and focuses on a differentiated product portfolio tailored to regional tastes and preferences, in both basic and mixed seasoning slices.
The International Trade Center said that the agreement "will increase the company's product portfolio and fulfill the ambition of the International Trade Center to significantly expand the spice business and expand its presence throughout the country."
“SFPL continues to deeply engage with consumers and distribution strength of SFPL in the focus markets, along with synergies from the sourcing and supply chain capabilities of agricultural companies and the company's corporate distribution network All India will provide opportunities to create great value for the company.” additional.
ITC also said that the proposed agreement is also in line with "its philosophy to improve the competitiveness of Agri value chains in India while contributing significantly to improve farmers' incomes."
" Finalisation of the SPA along with related operations during the closing conditions, reflecting the company's agility and resilience in dealing with the new normal," ITC said.
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