Nestle takes over Dabur subsidiary
25 February 1999Swiss foods group Nestle SA has agreed to acquire Excelcia Foods. This company was promoted by the Dabur group as a joint venture with Osem of Israel. Osem has since become a subsidiary of Nestle.
Nestle will pay Dabur India a sum of Rs 11 crore for a third of its 60 per cent holding in the joint venture. That will take Nestle's stake in Excelcia to 60 per cent. The deal involves the sale by Dabur of 1.8 million shares for $2.5 million. It has a paid-up capital of Rs 9 crore.
Nestle, which currently does most of its Indian business through Nestle India, will take over the 40 per cent of Excelcia held by Osem. Excelcia Foods was incorporated in 1996, and has been making and selling snack food, premium biscuits and extruded foods. The venture's brands include Creamwich and Fillin's.