Godrej Agrovet Limited announced a purchase agreement with Tyson India Holdings Limited for the remaining 49 per cent stake in Godrej Tyson Foods Limited (GTFL). The stake will be acquired at a cost of ₹322.8 crore.
Following the transaction, GAVL will hold a 100 per cent stake in GTFL.
The company, in 2008, had entered into a joint venture with an affiliate of Tyson Foods to manufacture and market processed poultry and vegetarian products selling under the brands ‘Real Good Chicken’ and ‘Yummiez’.
GTFL operates in more than 35 cities in the country and it has started exporting the products under ‘Godrej Yummies’. The company also engages in the sale of live poultry birds.
“Our partnership with Tyson Foods has been very enriching. Enabling us to leverage their capabilities in vertically integrated poultry processing and product development, it enabled us to modernize the way high-quality poultry products are developed, produced and distributed in our country. The household penetration of frozen snacks in India is below 6 per cent, indicating ample room for expansion. Hence, as we continue to focus on branded business supported by a cost-efficient live bird production system, our endeavour is to strengthen our portfolio and increase our presence across different channels,” said Balram Singh Yadav, Managing Director, Godrej Agrovet Ltd.