Country Reliance, led by India’s richest man Mukesh Ambani, is continuously expanding its business. Reliance has acquired popular brands like Toffee Paan Pasand and Tutti Frutti. Reliance Consumer has acquired Rawalgaon Sugar Farm’s confectionery brands like Coffee Break and Paan Pasand. This acquisition has been done for Rs 27 crore. Ravalgaon Sugar Farm has brands like Mango Mood, Coffee Break, Tutti Frutti, Paan Pasand, Choco Cream and Supreme.
Deal done for Rs 27 crore
Under this deal, Rawalgaon Sugar Farms has sold the trademarks, production recipes and all intellectual property rights of these products to Reliance Consumer Products Limited (RCPL). RCPL is a subsidiary of Reliance Retail Ventures Limited (RRVL), the retail arm of the Reliance Group. Rawalgaon Sugar Farms said in a stock exchange filing that its board of directors has approved the sale and transfer of trademarks and intellectual property rights of these brands to RCPL in a deal worth Rs 27 crore.
Sold business after losing market share
However, Rawalgaon Sugar said that even after completion of the proposed deal, all other assets such as property, land, plant, buildings, equipment, machinery will continue to be retained by it. The company said it has found it difficult to sustain its confectionery business in recent years. It has lost market share due to increased competition from both organized and unorganized players.
The company is 82 years old
In the year 1933, Walchand Hirachand established a sugar mill in Ravalgaon village of Nashik district in Maharashtra. In the year 1942, this company started making toffee under Ravalgaon brand. This company has 9 brands like Paan Pasand, Mango Mood and Coffee Break.
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