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Preeti Mehra
Dharini Nagarajan

Post-acquisition, consolidated sales to jump to Rs 400-500 crore

MR GAUTAM THAPAR

New Delhi , June 12

Global Green Company Ltd, the agri-business subsidiary of the Thapar Group, seems all set to acquire a company overseas to add to the company's turnover and increase its portfolio from the current preserves to food processing and frozen foods as well.

Mr Gautam Thapar, who is slated to take over as the Chairman of Ballarpur Industries Ltd (BILT) from July 1, said: "We are looking to acquire a company in the similar lines of business as Global Green and the acquisition should be completed in a month's time."

Mr Thapar added that the company under consideration was "bigger than Global Green" and that post acquisition, Global Green's consolidated sales would jump to Rs 400 crore-500 crore.

Though Mr Thapar refused to divulge the geography of the acquisition, it is learnt that Global Green has been looking at businesses in Europe.

Global Green, that currently clocks sales of around Rs 120 crore, is in the business of exporting preserved gherkins and jalapenos to over 22 countries. Apart from this, in the domestic market, Global Green sells preserves and olives imported from Spain under the Tiffy brand.

Mr Thapar has also charted out a medium-term growth strategy for the food processing company.

According to him Global Green would only consider tapping the capital markets once it achieves Rs 850 crore-1,000 crore turnover.

"Our plan is to scale up operations and only when we feel that the scale and size requires further financial aid, would we turn our attention towards the listing option," Mr Thapar said. He, however, added that, "We have sufficient funds to meet our current expansion plans."

The company, he said would focus on the private label business catering to overseas retail companies such as Tesco and Wal-Mart, among others.

Apart from the private label business, Mr Thapar said the company would also focus on catering to food service outlets and restaurants in the country, where he sees potential to grow the business.

Food portfolio

The company is planning to "aggressively" expand its food portfolio in the next nine months. "From the preserved foods segment, we are heading towards including other segments such as processed and frozen foods," Mr Thapar said.

The new acquisition, it seems, would enable the company to add the processed and frozen food technology to its basket.

More Stories on : Foods & Food Processing | Mergers & Acquisitions

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