In a transaction, Tata Consumer will become the new owner of India’s largest packaged water company, with a purchase likely to cost the corporation between Rs 6,000 and Rs 7,000 crore.
Ramesh Chauhan, 82, has struck a huge deal almost 30 years after selling the soft drink companies Thums Up, Gold Spot, and Limca to the beverage giant Coca-Cola.
The Chairman of Bisleri International intends to sell the largest packaged drinking water company in India to Tata Consumer Products Ltd. (TCPL), the FMCG division of the Tata group, for between Rs. 6,000 and Rs. 7,000 crore.
A report claims that Bisleri’s existing management will remain in place for another nearly two years. Although the move is apparently a requirement of the agreement, the report also states that Chauhan lacks a successor to lead Bisleri to the next stage of progress.
The story quotes Chauhan as claiming that The Tata Group “will nurture and take care of it even better” and that selling Bisleri was a “difficult” decision. In addition, it states, “I made up my mind despite the animosity displayed by other interested buyers because I enjoy the Tata culture of values and integrity.”
According to numerous media sources, Bisleri and Tata Consumer have been in communication for almost two years despite the involvement of a number of other suitors. Reliance Retail, Nestlé, and other companies were among them.
The report also states that Chauhan had no interest in owning a small percentage of the business. Additionally, he wants to “refocus and invest in environmental and social initiatives like as water harvesting, plastic recycling, and helping the poor get medical treatment” after ceding ownership of Bisleri to Tata Consumer.
