Godrej to Acquire Nutrine

Mumbai-based Godrej Foods is all set to acquire the Chittoor based Nutrine Confectionery for about Rs 270 crore.It is said to be the largest single brand acquisition in the FMCG industry.The deal marks a complete exit from the sugar boiled confectionery business for the descendants of B Venkatrama Reddy, who founded the company in 1952. Nutrine has since then grown into a household name, especially in the southern region of the country.

The company Profile as per the official website says

"COMPANY LIMITED was founded in 1952, by Shri B.Venkatarama Reddy, a graduate from National University, Adyar. The Chancellor of this University then, was Shri.Rabindranath Tagore, Nobel Laureate. From a small-scale unit manufacturing only candies in the early 60's, NUTRINE CONFECTIONERY has grown to be a multi-product, multi-market giant and continues to be the single largest manufacturer of confectionery and toffees in India since 1980."

Unlike other manufacturers that are generally located in big cities , it is located in a small town Chittoor, Andhra Pradesh bordering Tamil Nadu and Karnataka.About its location in Chittoor the website says
Chittoor district lies in an advantageous horticultural belt where tropical fruits like banana, mango and papaya grow in abundance. We also get very good crops of lime, tomatoes etc. Vegetable and fruit processing are therefore natural developments in this region and NUTRINE has been in the forefront of these developmental activities. Our Current research extends to processing of guava pulp and banana pulp and also a host of health and dietary products.
NUTRINE is keenly interested in being a leader not only in confectionery, but also in processed foods, vegetable and fruit processed products etc.Nutirne is famous for manufacturing toffees and chocolates at a cheap price with decent quality.I think its location in a small town like Chittoor is the main reason behind this.If the Godrej Group are to take my words , I request them to think about it and invest in this plant in future.The abundant availabilty of natural resources here and the availabilty of labour at a low price will definitely reap them higher benifits.So lets hope the Godrej Group that is going to take control of the plant soon will consider this and implement their future plans over plant in Chittoor that will give a twin benifit to the people of Chittoor and the Managament.

Resources:

• Nutrine Sweets
• Godrej Foods