India’s Tata Consumer Products, formerly Tata Global Beverages, is planning to acquire PepsiCo’s stake in NourishCo Beverages, a joint venture firm between the two companies.

Financial details of the deal are yet to be divulged by either company.

Tata Consumer Products managing director and CEO Sunil D’Souza said: “The liquid beverages category has exciting growth potential and this move will help us strengthen and widen our presence in it.

“Over the years, NourishCo has built a capable team and a network of distributors, co-packers and vendors. We will look to scale up these capabilities further and build a differentiated position in this segment.”

Covid-19 Report — Updated twice a week Understanding the Covid-19 outbreak, the economic impact and implications for specific sectors

Covid-19 executive briefing report cover
GlobalData

Our parent business intelligence company

The acquisition is said to be in line with Tata Consumer’s strategy to expand its presence in the food and beverage segment.

NourishCo offers a wide range of beverages in the market under various brands such as Himalayan mineral water, Tata Gluco Plus and Tata Water Plus.

Tata Consumer Products said: “These brands have been crafting their growth models which are now ready for deployment on a wider scale.

“Tata Consumer Products intends to use its resources, the capabilities acquired and the brands it now has to give wings to its ambition in the value-added liquid refreshment beverages space in India.”

Last May, GEA built a freeze-dried instant coffee plant for Tata Coffee Vietnam Company.

Built on a greenfield site in the Binh Duong Province, the Vietnam plant can produce 5,000tn of freeze-dried coffee annually.

GEA supplied a complete production line for the project, from roast bean treatment equipment to machines for the packing of the freeze-dried powder.