Tata Consumer - Increasing Presence In Kitchen Shelf: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Tata Consumer Products Ltd. has acquired 100% equity stake in Capital Foods Pvt. Ltd. (owner of ‘Ching’s Secret’ and ‘Smith & Jones’ brands) and Organic India Pvt. Ltd. (a ‘better for you’ organic brand spanning food and beverages and Nutraceutical categories) for a total consideration of Rs 70 billion. Key highlights are as follows: Capital Foods is the market leader of Desi Chinese products in India with an estimated revenue of ~Rs 7.5 billion in FY24 (accounting for ~5% of the incremental revenue in FY24E), while Organic India products span across food and beverages and herbal and traditional supplements with an estimated revenue of Rs 3.6 billion in FY24 (accounting for ~2.4% of the incremental revenue in FY24E). These acquisitions will enable Tata Consumer to move forward in its journey to emerge as the leading fmcg player with offerings spanning across pantry, liquid, mini meals and sustainable categories. The incremental total addressable market, India and International, from these new additions will be ~Rs 1 trillion. The acquisition is expected to be earnings per share accretive for the company from the third year of operations. It has been executed at industry-standard valuations, with Capital Foods/Organic India acquisition valued at ~6.8 times/5.2 times enterprise value/sales on FY24E sales versus ~6.4 times for Tata Consumer..Click on the attachment to read the full report:.What Tata Consumer Gets From Rs 7,000-Crore Buyouts Of Ching's Secret Owner, Organic India.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Tata Consumer - Increasing Presence In Kitchen Shelf: Motilal Oswal

Tata Consumer has acquired 100% equity stake in Capital Foods Pvt. Ltd. (owner of ‘Ching’s Secret’ and ‘Smith & Jones’ brands) and Organic India Pvt. Ltd. for a total consideration of Rs 70 billion

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