NCLT Gives approval of Amalgamation of Sunrise Foods and ITC
The National Company Law Tribunal (NCLT) Kolkata Bench has approved the amalgamation claimed by ITC. The NCLT approved
By : Legal Era
Update: 2021-04-03 06:30 GMT
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NCLT Gives approval of Amalgamation of Sunrise Foods and ITC The National Company Law Tribunal (NCLT) Kolkata Bench has approved the amalgamation claimed by ITC. The NCLT approved the amalgamation of ITC's recently acquired spice company Sunrise Foods with itself. It was further mentioned by the company that two subsidiaries of Sunrise i.e. Hobbits International Foods and Sunrise...
NCLT Gives approval of Amalgamation of Sunrise Foods and ITC
The National Company Law Tribunal (NCLT) Kolkata Bench has approved the amalgamation claimed by ITC. The NCLT approved the amalgamation of ITC's recently acquired spice company Sunrise Foods with itself.
It was further mentioned by the company that two subsidiaries of Sunrise i.e. Hobbits International Foods and Sunrise Sheetgrah have become wholly-owned subsidiaries of ITC.
In May 2020, ITC announced the acquisition of Sunrise Foods which is one of the largest spice brands and the market leader in West Bengal and East. The Rs. 2150 crore deal was made by ITC on a 'cash-free, debt-free' basis.
In Telangana and Andhra Pradesh, the company's Aashirvaad range of spice holds a strong market with the sale of its products. ITC is one of India's leading producers and exporters of high-quality food safe spices. In 2019- 20 Sunrise Foods had clocked made up to Rs 591.5 crore sales. It was a Kolkata-based family-owned company that holds popularity among many customers for its products.
The company stated that the said amalgamation will augment the company's product portfolio and is aligned to ITC's aspiration to significantly scale up its spices business and expand its footprint across India.
ITC stated that "The deep consumer connect of Sunrise in the focus markets, together with synergies arising out of the sourcing and supply chain capabilities of the company's agri-business and its pan-India distribution network, will provide significant value creation opportunities for the company."