A subsidiary of Wipro Enterprises, Wipro Consumer Care and Lighting, announced the acquisition of Kerala-based packaged food and spices brand, Nirapara for an undisclosed amount. However, they have not made a formal announcement yet, but Wipro will disclose the agreement soon. With this, Wipro marks its debut in the packaged ready-to-cook food segment.
About Nirapara:
Nirapara, which is known for blended spices, is owned by the KKR group of companies and was established in 1976. Sambar Powder and Chicken Masala are very famous blended spices of this brand. Famous personalities Like Monhanlal And Manju Warrier have been previously brand ambassadors for the brand.
The company has faced a setback in the last three or four years despite recording a turnover of Rs 400 crore in the 2017-18 FY. Consequently, they lost the monopoly they had in the sector and had to take measures to cut costs.
Vineet Agrawal, CEO of Wipro Consumer Care and Lighting said:
This acquisition will automatically provide entry to Wipro in the Food Sector. Nirapara has an annual budget of ₹100 crores, and the final valuation of the buyout should decide after 12 months, said Vineet Agrawal, CEO of Wipro Consumer Care and Lighting.
We have invested money in Nirapara to upgrade and modernise its manufacturing and processing facilities. “The substantial part of the nation’s spice market remains disorganised, and thus the sector has lots of ability for M&A activities. We are continuously exploring suitable opportunities to grow in this business,” he added.
Some 63% of Nirapara’s trade presently comes from within Kerala, 8% from the rest of India and 29% from exports, primarily from GCC nations.“It is a huge segment which is going to boost rapidly, particularly in locations with a concentration of Indian diaspora,” Mr Agrawal said, adding, “To start with, our focus will be on the Southern region and also on West India.”
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