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Adani Wilmar Buys Kohinoor Basmati Rice Brand From McCormick Switzerland

The acquisition will fuel the next level of growth, Adani Wilmar said.
The acquisition will fuel the next level of growth, Adani Wilmar said.

Packaged foods major Adani Wilmar Ltd (AWL) announced that it has acquired the renowned "Kohinoor" basmati rice brand from McCormick Switzerland GMBH for an undisclosed amount. "The acquisition would give AWL exclusive rights over the brand 'Kohinoor' basmati rice along with 'Ready to Cook', 'Ready to Eat' curries and meals portfolio under the Kohinoor Brand umbrella in India," the company stated in a notification on Tuesday.

The step will fuel the next level of growth and widen the portfolio to cater to premium customer segments, AWL added.

The Kohinoor brand portfolio includes "Kohinoor" - for premium basmati rice; "Charminar" - for affordable rice and "Trophy" for HORECA (hotel and catering industry) segment.

Angshu Mallick, Chief Executive Officer and Managing Director, AWL, said: "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."

AWL has reported a 26 per cent decline in consolidated net profit at Rs 234.29 crore for the quarter ended March (Q4) on higher tax expenses. It had posted a net profit of Rs 315 crore in the year-ago period.

Adani Wilmar, which sells its cooking oils and other food products under the Fortune brand, is a 50:50 joint venture (JV) between Adani Group and Singapore-based Wilmar.

The company recently got listed on the stock exchange after raising Rs 3,600 crore through an initial public offering (IPO).

The stock has witnessed a massive rise since its listing. It has surged more than 200 per cent from the issue price of Rs 230.