Orkla Brands buys Indian spice company
Orkla Brands has entered into an agreement to purchase Rasoi Magic Foods, an Indian manufacturer of spices and spice mixes, located in Pune, West India.
Under the agreement, Orkla Brands is acquiring 100% of the shares through its Indian company MTR Foods. The sellers are Mr. D. Chordia and Mr. Mehta. The parties have agreed not to disclose the purchase amount.
Rasoi Magic Foods’ product portfolio comprises spices, spice mixes and ready mixes for the ready-to-cook segment. The company’s best known Indian brands are Rasoi Magic and No onion No garlic. Its home market is Pune and Mumbai in West India. The company has 60 employees and annual sales of approximately NOK 20 million.
“This acquisition is part of our further investment in India, which we consider to be an attractive and growing market. Rasoi Magic Foods complements the products of our Indian branded company, MTR Foods, in Bangalore. At the same time, we are expanding the market for our products. We see considerable potential for synergies between the two companies,” explains Paul Jordahl, CEO of Orkla Brands International.
Rasoi Magic Foods will be operated as a subsidiary of MTR Foods.
Orkla Brands acquired MTR Foods in Bangalore, India in 2007. The company manufactures processed vegetarian foods, such as ready meals, ready mixes, spices and accompaniments. Its home market is South India. In 2010, MTR Foods had sales totalling around NOK 372 million and employed a workforce totalling 1,023 man-years.
Orkla Brands is a leading supplier of branded consumer goods and concept solutions, primarily to the grocery and out-of-home channels. The bulk of the portfolio lies in the Nordic region and the Baltics, although Orkla Brands also holds several strong positions in Russia, India and Austria. Through Orkla Food Ingredients, Orkla Brands is also an important supplier to the European bakery market. In 2010, Orkla Brands had operating revenues of NOK 23.6 billion and a workforce equivalent to 13,965 man-years.