Moneycontrol Bureau
Shares of Tata Global Beverage rose 3 percent intraday on Wednesday. The company’s joint venture company between Starbucks Corporation is making good business in India. Coffee chain Tata Starbucks posted sales of Rs. 235 crore in FY 2015-16, registering a growth of 39 percent on account of its expansion in leading metros.
Tata Starbucks, the 50:50 JV between Tata Global Beverage Ltd (TGBL) and Seattle-based Starbucks Coffee International Inc, is also looking at selling the Tata group firm's Himalayan mineral water brand in more global markets through the outlets of its American partner.
In an investor presentation, TGBL said the growth in Tata Starbucks' revenue was "led by good-in-store performance and expansion of number of stores".
The JV operates 84 stores in leading metros such as Delhi, Mumbai, Banagalore, Pune, Hyderabad and Chennai after opening the first store in 2012 in Mumbai.
Commenting on leveraging on relationship with Starbucks beyond the Indian market, TGBL said it is "looking for supply agreements for other international markets" of its Himalayan mineral water brand, which is now available at Starbucks outlets in Singapore.
Already, Tata Coffee has a tie up with Starbucks for international supply. TGBL has 57.48 per cent stake in Tata Coffee, which primarily is into plantation and coffee extraction business.
At 14:06 hrs Tata Global Beverage was quoting at Rs 147.55, up Rs 2.85, or 1.97 percent on the BSE. (With inputs from PTI)
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