Tata Consumer Products approves merger of its three wholly-owned subsidiaries, ET Retail

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New Delhi: The board of directors of FMCG major Tata Consumer Products Limited (TCPL), on Tuesday has approved the amalgamation of its wholly-owned subsidiaries including NourishCo Beverages Limited, Tata SmartFoodz Limited, and Tata Consumer Soulfull Private Limited with the company, TCPL said in a regulatory filing.

The appointed date of the scheme is April 1, 2024, as per the filing.

The transferee company, that is, TCPL had purchased earlier and was holding all equity shares issued by the transferor companies – NourishCo Beverages Limited, Tata SmartFoodz Limited, and Tata Consumer Soulfull.

Pursuant to the share purchase and investment agreement dated February 2, 2021, TCPL has now also purchased all the optionally convertible preference shares of Tata Consumer Soulfull Private Limited (formerly known as Kottaram Agro Foods Private Limited) (“TCSPL”), from its former promoters.

Accordingly, the entire share capital of all three transferor companies, including TCSPL, is now held by Tata Consumer Products. Since all shares in the share capital of the transferor companies are held by TCPL and it being the holding company, cannot issue or allot any shares to itself, no new shares whatsoever shall be issued by TCPL in consideration of the amalgamation.

The scheme is subject to necessary statutory and regulatory approvals, including sanction by the Hon’ble National Company Law Tribunal under Sections 230 and 232 of the Companies Act, 2013. It is proposed to the advantage of the transferor companies and the transferee company and will yield beneficial results for the shareholders, creditors, employees, and all concerned.

Tata Consumer Products Limited is engaged primarily in the business of manufacturing, marketing, distribution and sale of consumer products, with offerings across food and beverage categories which include tea, coffee, water, edible salt, spices, protein foods, ready to-eat and ready-to-drink beverages and various other consumer products under brands including Tata Tea, Tetley, Tata Salt and Tata Sampann among others.