Mahindra Agri Solutions has acquired 60 per cent stake in the Netherlands-based global fruit distribution company OFD Holding BV for about ₹36 crore (€5 million).

OFD Holding owns Origin Fruit Direct, Origin Direct Asia and Origin Fruit Services South America, which are based out of the Netherlands, China and Chile, respectively.

Ashok Sharma, Managing Director, Mahindra Agri Solutions, said the acquisition takes the company closer to becoming a significant global player in grapes and is in line with Mahindra’s long term vision of Delivering FarmTech prosperity.

The deal gives Mahindra an opportunity to tap new markets in Europe and China and strengthen its existing customer base.

Corné van de Klundert, Managing Director, OFD Holding BV, said the deal will strengthen its position as an integrated supply chain company.

India has emerged a major supplier of grapes to Europe. The deal is expected to benefit both the companies — Origin Fruits with their strong distribution channel will open up global markets for the Indian farmers and Mahindra will contribute through its strong farmer connect, said Mahindra in statement.

Origin Fruit Direct and Mahindra have a supplier-customer relationship which will be further be strengthened to address the market needs. This acquisition gives access to large sourcing base for both the companies across India, South American countries and South Africa and distribution base in Europe (accounting for 24 per cent of global imports of grapes) and China (fastest growing importer with 31 per cent CAGR).

OFD Holding BV, which owns Origin Fruit Direct (based out of the Netherlands), Origin Direct Asia (China), and Origin Fruit Services South America (Chile) registered revenue of about €71 million in the year ended October 2016.

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