RSS FeedTata Tea Acquires 26% In Mount Everest Mineral Water For $28.3 Million
Sat, 06/02/2007 - 12:49 — Sahad P VHere is the final and official confirmation of the Tata Tea deal with Mount Everest Mineral Water. Tata Tea has acquired 25.74 per cent stake in the mineral water maker for Rs 115 crore ($28.3 million). It will first directly buy 10 per cent stake from the promoters of Mount Everest, and the remaining 15 per cent stake through subscription of fresh shares. Subsequently, Tata Tea will make an open offer for 20 per cent of shares from the public markets.
All the offers will be priced at Rs 140 a share, which is about seven per cent higher than Mount Everest’s closing of Rs 130.90 on the Bombay Stock Exchange.
The open offer will cost Tata Tea about Rs 90 crore ($22.5 million) if it's fully subscribed. So the total cost of acquiring 45 per cent stake in Mount Everest will be about Rs 205 crore ($51 million). Tata Tea had recently sold its 30 per cent stake in US energy drink maker Galceau to Coa-Cola for $1.2 billion. The cash rich firm is looking at new areas of growth and the acquisition of Mount Everest will give the company a push into the Rs 1,600 crore beverage market. This industry is growing at over 30 per cent. The other players in the business are Parle Bisleri, Coca-Cola’s Kinley and Pepsi’s Aquafina, besides several other packaged drinking water brands.
Mount Everest sells mineral water under "Himalayan" brand. The company was founded by Dadi Balsara, who has interests in diamonds and trading with an annual turnover running into several billions of dollars.
For more details, see The Economic Times and Business Standard.
See our earlier post.
Comments
Can you please confirm who
, June 05, 2007Can you please confirm who is the investment banker to the deal
This is to introduce our
soumya pattnaik, June 11, 2008This is to introduce our firm,M/S S.R.Associates Infrastructure Pvt. Ltd., having their head office located at S-2/40, Sector A, Zone A, Mancheswar Industrial Estate, Bhubaneswar- 751010. Our firm is in the business of executing all electrical project works of HT & EHT levels on a turn key basis in the state of Orissa since the last ten years. Our business activities mainly centre on distribution, construction of transmission lines, erection, testing and commissioning of Sub-Stations and Switching Stations.
Mr.Soumya Patnaik, M.D. of the firm, is a dashing and dynamic young man having high degree of integrity and dedication. Being born and brought up in an established and reputed business family having their roots firmly entrenched in Bhubaneswar, the Capital City, a strong sense of business ethics and acumen has been instilled into Mr. Patnaik from the early teens. With the passage of time, he has turned out to be an enterprising young man of amiable nature with a passion for dedication and commitment. In his venture as a businessman, Mr. Patnaik is ably assisted by a group of experienced and knowledgeable professionals including skilled and experienced support staff both in the office and the work sites. Being in the business of executing the above nature of work on turn key basis, We are working with organizations like M/S Vedanta, Jindal Group, Stork Group, Russia, KSK Group, Hyderabad etc in various projects. Being an established Indrustrial house and on a spree to increase business through an established distribution network. We would like to partner TATA as their extended arm for marketing Mount Everest Mineral Water in the state of Orissa. Kindly consider us for your Orissa distribution of Mount Everest Mineral water. We would like to have a detail discussion with your goodself for the path forward.
for SRA
R.S Patnaik
09437090559