Adani is spreading its wings in the food segment and, with this, has acquired Kohinoor rice. Adani Wilmar Limited (AWL) announced the acquisition of several brands, including the Kohinoor Brand – domestic (India region) from McCormick Switzerland GMBH for an undisclosed amount.
The acquisition would give AWL exclusive rights over the brand ‘Kohinoor’ basmati rice along with ‘Ready-to-Cook’, ‘Ready-to-Eat’ curries and meals portfolio under the Kohinoor Brand umbrella in India.
The acquisition will fuel the next level of growth for AWL and widen the portfolio to cater to premium customer segments across rice and other value-added food businesses.
“The addition of Kohinoor’s domestic brand portfolio strengthens Adani Wilmar’s leadership position in the food FMCG category by augmenting a strong product basket with a premium brand along with the potential to scale value-added products.” It also leverages the reach of the Kohinoor brand to drive synergies for AWL across geographies and complements the reach of its flagship brand ‘Fortune’ in the food FMCG domain.
The Kohinoor brand portfolio comprises of “Kohinoor”-for premium Basmati rice; “Charminar”-for affordable rice; and “Trophy” for the HORECA segment.
This acquisition is consistent with our business strategy of broadening our portfolio in the higher margin branded staples and food products segments.We believe the packaged food category is under-penetrated with significant headroom for growth.
“The Kohinoor Brand has a strong brand recall and will help accelerate our leadership position in the Food FMCG category,” Angshu Mallick, Chief Executive Officer and Managing Director of Adani Wilmar, said.
Adani Wilmar expects the acquisition to help further consolidate its market share and leverage the brand for product extension and diversification. Adani Wilmar’s flagship Fortune already has a strong presence in packaged foods, including packaged wheat flour, rice, pulses, besan, sugar, soya chunks, and cereal-based products such as ready-to-cook khichdi.