Hindustan Unilever (HUL) on Friday said it has signed an agreement for the sale of its atta and salt businesses carried out under the brands, ‘Annapurna’ and ‘Captain Cook’. The sale is expected to fetch Rs 60 crore.
The brands are being sold to Uma Global Foods Pte Ltd, and Uma Consumer Products Private Ltd, which are subsidiaries of Reactivate Brands International, a Singapore-headquartered company and an affiliate of CSAW Aqbator Pte Ltd (Singapore).
The brands posted annual sales of `127 crore during FY22.
HUL’s decision to divest these businesses is in line with its stated intent of exiting non-core categories while continuing to drive its growth agenda in the packaged foods business of dressings, scratch cooking and soups, the company said in a release.
The deal envisages the transfer of trademarks, copyrights and other intellectual properties associated with India and several other geographies. It is subject to customary closing conditions, and HUL will continue to manage the business till the completion of the transaction.
Sanjiv Mehta, CEO & MD of HUL, said: “Launched more than two decades ago, Annapurna and Captain Cook enjoy strong equity. Given our strategic priorities and portfolio choices, we believe it is in the business’s best interest to sell these brands to Reactivate Brands International, which is well-positioned to unlock their full potential.”
Ashok Vasudevan, co-founder of Uma Global Foods, said: “We are delighted to bring Annapurna and Captain Cook into our portfolio. We are confident of scaling them up and expanding globally, leveraging founders’ experience.”