Tata Consumer Products divests stake in Empirical Group and Southern Tea
Tata Consumer Products Limited (TCPL) continually evaluates its businesses across geographies in line with its strategic goals. As a result of this process, the company’s step-down subsidiaries in the USA have decided to divest their entire membership interest in Empirical Group LLC and Southern Tea LLC to the JV partner Harris Tea Company LLC, USA (Harris Tea).
Empirical is engaged in the business of selling primarily white label tea and coffee in the foodservice channel and to contract customers. Southern Tea is a manufacturing entity acting as a supplier to Harris Tea and TCPL (Empirical, Tetley and Good Earth brands).
This move is in line with TCPL’s focus on its core branded businesses in International markets. It will help further simplify and streamline the Company’s operations to enhance business effectiveness and profitability. Following this transaction, Southern Tea will continue to manufacture for Tetley and Good Earth brands.
Sunil D’Souza, MD & CEO, Tata Consumer Products said, “This divestment is another step towards consolidating and strengthening our presence in International markets and will enhance our focus on the branded tea and coffee businesses in the US market.”
About Tata Consumer Products Limited
Tata Consumer Products Limited is a focused consumer products company uniting the principal food and beverage interests of the Tata Group under one umbrella. The Company’s portfolio of products includes tea, coffee, water, salt, pulses, spices, ready-to-cook offerings, breakfast cereals, snacks and mini meals. Tata Consumer Products is the 2nd largest branded tea company in the world. Its key beverage brands include Tata Tea, Tetley, Eight O’Clock Coffee, Tata Coffee Grand, Himalayan Natural Mineral Water, Tata Water Plus and Tata Gluco Plus. Its foods portfolio includes brands such as Tata Salt, Tata Sampann and Soulfull. In India, Tata Consumer Products has a reach of over 200 million households, giving it an unparalleled ability to leverage the Tata brand in consumer products. The Company has an annual turnover of ~Rs. 10,000 cr with operations in India and International markets. For more information, please visit www.tataconsumer.com