Hassad Food buys majority stake in Bush Foods

NEW DELHI: Qatar-based conglomerate Hassad Food on Wednesday announced the acquisition of a majority equity stake in Indian firm Bush Foods Overseas - the maker of brands such as Neesa, Himalayan Crown and Indian Star.
The deal, which is for an estimated $100 million, is the first investment of Hassad Food in India. While Hassad Food is a premier investor in the agriculture and livestock sectors in Qatar, Bush Foods Overseas specializes in premium basmati rice and has diversified into value added processed foods in the ready to eat segment and other ethnic range of international brands that are currently available in over 70 countries across the world.
"Hassad Food has picked up more than 51% stake in our company. They have invested more than $100 million in this transaction," Bush Foods managing director and CEO Virkaran Awasty said, but declined to share exact percentage of stake sold and the value of transaction.
Bush Food Overseas, founded in 1992, currently has a turnover of over $235 million and is present through more than 250,000 outlets across the world. Hassad Food is an investment fund owned by the Qatar Investment Authority.
"We are very excited about this acquisition... I am confident that the acquisition of Bush Food Overseas and its international brands is in line with what we are trying to achieve and will deliver what is expected from it," Nasser AlHajri, chairman of Hassad Food said.
The company plans to utilize the investment by Hassad Food to boost its growth by way of increasing the processing capacity by 25% to 50% and brand promotion, Awasty said.