Tata Consumer Products has lined up a simplification of organisation structure of the overseas subsidiaries, the company informed in its annual report for FY24.
US subsidiaries Tata Tea Extractions and Consolidated Coffee will be transferring their businesses and assets to Tata Consumer Products US. American brands - Good Earth, Tata Waters, and Eight O’ Clock Coffee - too will merge into Tata Consumer Products US Inc.
On completion of the restructuring, the US business of Tata Consumer Products (TCPL) will be held 100% by Tata Consumer Products UK through step-down subsidiaries, and this process or recast is expected to be completed by December 31, 2024.
Tata Consumer’s overseas operations have seen several acquisitions such as Good Earth and Eight O’Clock Coffee in the US.
In his address to the shareholders, Chairman N Chandrasekaran said that India is emerging as a 'bright spot' in the new world order, and the Indian consumer market presents an 'immense opportunity for the next decade and beyond'.
TCPL has integrated Tata Soulfull, NourishCo, and Tata SmartFoodz brands into the fold, aiming at unlocking value and improved efficiencies.
"FY24 has been a milestone year for Tata Consumer Products in many aspects", Chandrasekaran said, adding that the there has been 5X growth in innovation revenue in the India business over past three years. The Sales & Distribution network stands at 4 million outlets, which is a two-fold increase since 2020, he added.
Tata Consumer is moving towards becoming a complete FMCG company, and it is building a stronger e-commerce and omni-channel presence, the annual report mentioned.
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