- Reliance Consumer Products (RCPL) has completed the acquisition of a 51-percent controlling stake in Lotus Chocolate Company, for an aggregate consideration of Rs 74 crore.
- Isha Ambani, Executive Director of RRVL, said that the investment underscores Reliance’s commitment to further boost indigenously developed daily use high-quality products.
- Reliance Retail Ventures operates an integrated omnichannel network of 18,040 stores and digital commerce platforms across grocery, consumer electronics, fashion and lifestyle, and pharma consumption baskets.
- Lotus Chocolate Company manufactures chocolates, cocoa products, and cocoa derivatives. This BSE-listed company has a fully integrated manufacturing facility.
Reliance Consumer Products (RCPL), the wholly-owned subsidiary of Reliance Retail Ventures, has completed the acquisition of a 51-percent controlling stake in Lotus Chocolate Company. The company completed the acquisition of a 51 percent controlling stake for an aggregate consideration of Rs 74 crore. RCPL also subscribed to non-cumulative redeemable preference shares of Lotus for an aggregate consideration of Rs 25 crore. With this Reliance Consumer Products took sole control of Lotus with effect from May 24.
The deal was announced on December 29, 2022. RCPL, Lotus Chocolate Company Limited and Prakash P Pai, Ananth P Pai, and other members of the promoter group of Lotus signed the deal. As per the deal, RCPL signed to acquire 65,48,935 equity shares of Lotus, representing 51 percent of the paid-up equity share capital at a price per share of Rs 113, aggregating to Rs 74 crore. It was also agreed that RCPL and certain promoter group entities of Lotus would subscribe to 5,07,93,200 noncumulative redeemable preference shares of the face value of Rs. 10 each.
Isha Ambani, Executive Director of Reliance Retail Ventures Limited, said that the investment underscores Reliance’s commitment to further boost indigenously developed daily use high-quality products, to serve a broad customer spectrum at affordable prices.
Abhijit Pai, founder-promoter of Lotus said that their vision is to build a ‘world-class confectionery products business across customer segments backed by best-in-class manufacturing capabilities and talent.
Reliance Retail Ventures operates an integrated omnichannel network of 18,040 stores and digital commerce platforms across grocery, consumer electronics, fashion and lifestyle, and pharma consumption baskets. It reported a consolidated turnover of Rs 2.6 lakh crore and a net profit of Rs 9,181 crore for the year ended March 31, 2023.
Lotus Chocolate Company manufactures chocolates, cocoa products, and cocoa derivatives. This BSE-listed company has a fully integrated manufacturing facility. Its products are supplied to chocolate makers and users across the world.
(With inputs from agencies)
