NYSE-listed Amira Nature Foods Ltd, a provider of packaged Indian specialty rice, has struck a deal to acquire Basmati Rice GmbH, a specialty distributer of premium branded rice, particularly basmati rice in Germany.
The transaction is expected to be accretive to Amira's fiscal year 2014 earnings. Details of the transaction were not disclosed.
"We are excited about the acquisition of Basmati Rice GmbH which has a rich 25-year history of serving supermarkets in Germany and more recently in neighbouring countries across Europe," said Karan A Chanana, chairman and chief executive officer, Amira Nature Foods.
He said Amira will leverage its existing vertically integrated infrastructure and distribution in Europe to provide consumers an array of branded basmati rice from the company’s natural and organic offerings to new, unique items like smoked basmati rice.
Basmati Rice GmbH generated approximately $8 million in sales in calendar year 2012 and $6.5 million in sales for the nine months ended September 30, 2013. Basmati Rice GmbH offers 10 varieties of rice to consumers under ATRY, Scheherazade, Sultan, Sativa and Sadry brands.
These brands can be found in over 4,000 stores across Germany and Europe, including stores of Edeka, Markant, Metro, Mpreis, REWE, Frischeparadies as well as in certain food service distributors.
Founded in 1915, Amira is a global provider of packaged Indian specialty rice, with sales in over 40 countries. It sells basmati rice, premium long-grain rice grown only in certain regions of the Indian sub-continent, under its flagship Amira brand as well as under third-party brands. Headquartered in Dubai, United Arab Emirates, it also has offices in India, Malaysia, Singapore, the UK, and the US.
(Edited by Joby Puthuparampil Johnson)