Tata Chemicals mergers consumer business with Tata Global Beverages

Tata Chemicals mergers consumer business with Tata Global Beverages

4:35 AM, 16th May 2019
Tata logo
Tata logo. (File photo)

MUMBAI, INDIA: Tata Chemicals Limited has decided de-merger its Consumer Products Business and merge it with Tata Global Beverages Limited (TGBL). TGBL will be renamed as Tata Consumer Products Limited, the company announced. 

The transaction is expected to be completed by Q4 FY20 / Q1 FY21.

Pursuant to the Scheme, each shareholder of TCL will get 1.14 new equity shares of TGBL for every 1 equity share held in TCL i.e. a shareholder holding 100 shares in TCL will receive 114 shares in TGBL.

The new merged entity combines key brands such as Tata Salt, Tata Tea, Tata Sampann and Tetley under a single umbrella.

The combined consumer business will also benefit from a combined reach of over 200 million households, a broader portfolio to deepen distribution, enhanced innovation capabilities, as well as a strong product pipeline. ln addition, the new consumer entity expects to achieve substantial revenue and cost synergies which will add value to its shareholders.

"Tata Consumer Products consolidates our current presence in food & beverages in the fast-growing consumer sector. Through this combination, we have created a strong growth platform to meet the growing aspirations of Indian consumers,” said N Chandrasekaran, Chairman, Tata Sons.

"This transaction is consistent with our strategy to deepen our India presence and transform into a broader FMCG player. Existing TGBL shareholders will benefit significantly as the Consumer Products Business increased our exposure to high growth product categories and provides a strong platform to seize new opportunities in this sector. We will also continue to nurture and grow our global brands,” added Ajoy Misra, Managing Director & CEO of TGB.

"This combination provides significant benefits to our shareholders by unlocking the value of our Consumer Products Business. ln line with its strategy to be a leading science-based solutions company, Tata Chemicals will aggressively grow its specialty chemistry business in the areas of Agro Science, Nutrition Science, Material Science and Energy Storage Science. ln addition, the Basic Chemistry Business of Tata Chemicals will be the Global Partner of Choice for Soda Ash, Salt and Bicarbonate to leading brands of Food, Pharma, Detergents and Glass,” added R Mukundan, Managing Director and CEO, Tata Chemicals.

© Worldofchemicals News

0 Comments

Login

Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News


Sanitized invests in development of tailored antimicrobial masterbatch

BURGDORF, SWITZERLAND: Sanitized AG TecCenter has specially developed a twin-screw extruder for faster development of new masterbatch combinations and ...

Read more
Asahi Kasei to expand spunbond capacity in Thailand

TOKYO, JAPAN: Asahi Kasei said that it will expand production capacity for spunbond nonwovens in Thailand. The company will add new production line at ...

Read more
X-Swift athleisure shoe: Designed by BASF materials, Longterm Concept & Gu Guoyi

GUANGZHOU, CHINA: BASF SE, Longterm Concept and Gu Guoyi have collaborated to develop X-Swift - a newly designed athleisure shoe. The showcases four o ...

Read more
ExxonMobil’s Rovuma LNG project approved by Mozambique govt

MAPUTO, MOZAMBIQUE: Mozambique Rovuma Venture said that the government of Mozambique had approved its development plan for the Rovuma LNG project. The ...

Read more
McDermott starts first production from Cameron LNG Train 1

HOUSTON, US: McDermott International Inc said that Train 1 of the Cameron LNG project in Hackberry, La has begun producing liquefied natural gas (LNG) ...

Read more
Lubrizol collaborates with Ultimaker's Material Alliance Program

CLEVELAND, US: The Lubrizol Corporation has collaborated with Ultimaker, the leader in desktop 3D printing, to enter the Material Alliance Program. Lu ...

Read more