Adani Wilmar Buys Kohinoor Basmati, Other Brands To Strengthen Food Business
Adani Wilmar Ltd. on Tuesday announced the acquisition of several brands, including the renowned Kohinoor brand from McCormick Switzerland GmbH, to strengthen its leadership in food business.
The deal size was not disclosed.
The acquisition would give Adani Wilmar exclusive rights over the brand 'Kohinoor' basmati rice along with ready-to-cook, and ready-to-eat curries and meals portfolio under the Kohinoor brand umbrella in India, the company said in a statement.
The addition of Kohinoor's domestic brand portfolio strengthens Adani Wilmar's leadership position in the food FMCG category by augmenting a strong product basket with premium brands along with potential to scale value added products.
The acquisition will fuel the next level of growth for Adani Wilmar and widen the portfolio to cater to premium customer segments across rice and other value-added food businesses, it added.
The Kohinoor brand portfolio comprises 'Kohinoor' for premium basmati rice; 'Charminar' for affordable rice; and 'Trophy' for Horeca (hotel, restaurant and cafe) segment.
“We are pleased to welcome the Kohinoor brand to the Fortune family. This acquisition is in sync with our business strategy to expand our portfolio in the higher margin branded staples and food products segment.
"We believe the packaged food category is under-penetrated with significant headroom for growth. The Kohinoor Brand has a strong brand recall and will help accelerate our leadership position in the food FMCG category,” Adani Wilmar's Chief Executive Officer and Managing Director Angshu Mallick said.
On Monday, Adani Wilmar reported a 26% decline in consolidated net profit at Rs 234.3 crore for the quarter ended March compared to Rs 315 crore in the year-ago period on higher tax expenses.
Total income increased to Rs 15,022.9 crore during the January-March period of last fiscal year from Rs 10,698.5 crore in the corresponding period of FY21.
During the full FY22, the company's net profit rose to Rs 803.7 crore and total income grew to Rs 54,385.9 crore compared to the previous year.
Adani Wilmar, a 50:50 joint venture between business conglomerate Adani Group and Singapore-based Wilmar, recently got listed on the stock exchange after raising Rs 3,600 crore through an initial public offer.