Ruchi Soya will have 51 per cent stake in the JV, while J-Oil will have 26 per cent and TTC will have 23 per cent stake, the company said in a release.
The JV will also buy Ruchi Soya's existing plant in Shujalpur, Madhya Pradesh, at Rs 40 crore.
"This alliance is an important step towards our business strategy of expanding our product portfolio by bringing value added and healthier products. We will provide raw materials and necessary marketing and distribution assistance to the JV.
"J-Oil will provide technical assistance and TTC with its rich global experience will provide management assistance for internal control and access to international markets through its network," Ruchi Soya Founder and Managing Director Dinesh Shahra said.
The JV company will enter into the business of production and marketing of high quality functional edible oils.
"It will be managed by a Board consisting of representatives from all the three companies and plans to start supplying products to the institutional customers by the end of 2013, and launch high quality consumer products for the Indian markets in the second half of 2014," he added.
"The main purpose of this investment is to start our first ever business activity overseas in a promising country like India. J-Oil sees India as a vast and fast growing market and has plans to establish as a leading company in high quality value added edible oil segment," J-Oil Mills President and CEO Sumikazu Umeda said.
TTC Managing Director Yoshiki Miura said, Ruchi J-Oil JV provides an appropriate crossover opportunity to leverage its business networks, product portfolios and skill sets.
"We create Global Vision 2020, in which we identified three business areas that we expect sustainable growth. We aim to expand food business in life and community field," he added.
No comments :
Post a Comment