The multinational company ITC, 24 mantras will acquire the Natural Natural bioprodeucts for the manufacture and sale of organic packaged food products under the organic brand for about Rs 472.50 crore. According to PTI news, the ITC reported that it has signed a share purchase agreement to get a 100 percent stake in Shrestha Natural Bioprodects Private Limited (SNBPL). This acquisition is in accordance with the company’s strategy to increase portfolio ready for the future, this transaction will strengthen the presence and market status of the ITC in high development biological product segment in both Indian and foreign markets.
More than 100 organic products are included
According to the news, SNBPL’s portfolio includes a wide chain of over 100 organic products, including branded grocery staples, spices and spices, edible oils and beverages etc. It also has a strong international appearance with deep relations with Indian migrants. The ITC said that the share acquisition is expected to be completed in the first quarter of FY 2025-26 or at a later date fixed by the parties by mutual consent.
ITC statement on the cost of acquisition
Regarding the cost of acquisition, the ITC said that it is up to Rs 472.50 crore on a cash-free loan-free basis. At the conclusion of share procurement agreements, Rs 400 crore in advance and Rs 72.50 crore payable in the next 24 months after the conclusion, the company further said that this investment is in accordance with the ‘ITC Next’ strategy expressed by Chairman Sanjeev Puri which also focuses on creating a ready -made portfolio for the future of products that meet the emerging needs of consumers. We are excited to find 24 mantras organic as part of the portfolio of Nutrition-based healthy food products of ITC’s food business.
ITC full -time director Hemant Malik said that 24 mantras Organic has created a strong backnd and sourcing network which is the origin of its reliable organic product portfolio. SNBPL founder and managing director Rajasekhar Reddy Celam said that ITC shares a similar approach to promote permanent livelihood and ensure healthy lifestyle for consumers. We are confident that ITC strength in product development expertise and distribution power in channels will help to take 24 mantras organic to millions of houses.
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