Godrej Foods & Bevgs on the prowl for acquisitions

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Godrej Foods & Bevgs on the prowl for acquisitions

Godrej Foods and Beverages is on the prowl for acquisitions. Just one month ago, the company bought out south-based Nutrine. CNBC-TV18 reports that apart from consolidating the new business Godrej is also looking at buying Indian tea and coffee brands.

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Godrej Foods and Beverages is on the prowl for acquisitions. Just one month ago, the company bought out south-based Nutrine. CNBC-TV18 reports that apart from consolidating the new business Godrej is also looking at buying Indian tea and coffee brands.

The acquisition of Nutrine has given Godrej's southern distribution setup a huge fillip. It's also given it the leadership position in the candy space. On the cards, are a variety of new products too - chocolate, fruit bars, gums and lozenges but Godrej is looking for more.

"We are fairly acquisition savvy or acquisition hungry and good acquisitions in the beverage space we will be open," said A Mahendran, Director, Godrej Beverage & Foods.

It wants to buy both a regional tea and coffee brand to correct an anomaly. Godrej makes just Rs 25 crores from tea sales in a market estimated at about Rs 3000 crore. However, in the immediate term, the company says it is looking at international tie ups to get technology that can be used in its expanded confectionary line up.

"Godrej is fairly well known globally as a good local partner from every angle; from an international culture angle particularly, so we are looking for strategic alliances," said A Mahendran.

With the Nurine acquisition, the company has Rs 450 crore turnover. It wants to grow to about Rs 700 crore organically and about Rs 300 crores to that through acquisitions.

Godrej says its aggresive organic and inorganic growth plans will more than double its revenue to Rs 1000 crores over the next two years making it one of India's largest food companies.