Tata Consumer Products said on Monday that it will acquire PepsiCo's stake in NourishCo Beverages, a 50:50 joint venture between the two companies.
This move is consistent with Tata Consumer's focus on widening its portfolio in the food and beverages space.
Over the last decade, NourishCo has focused on building brands in the healthy hydration space and has Himalayan mineral water, Tata Gluco Plus and Tata Water Plus in its portfolio.
The company said that these brands have been crafting their growth models which are now ready for deployment on a wider scale.
Over time, it said, Tata Consumer Products intends to use its resources, the capabilities acquired and the brands it now has to give wings to its ambition in the value-added liquid refreshment beverages space in India.
"The liquid beverages category has exciting growth potential and this move will help us strengthen and widen our presence in it," said Managing Director and CEO Sunil D'Souza.
"Over the years, NourishCo has built a capable team and a network of distributors, co-packers and vendors. We will look to scale up these capabilities further and build a differentiated position in this segment," he said in a statement.
Tata Consumer Products has a consolidated revenue of Rs 10,000 crore and employs over 2,200 people in its branded business. The portfolio of products includes tea, coffee, water, salt, pulses, spices and packaged food offerings. (ANI)