Annapurna and Captain Cook are being sold to Uma Global Foods and Uma Consumer Products, which are subsidiaries of the Singapore-headquartered Reactivate Brands.
Hindustan Unilever Ltd (HUL) on February 17 said it has signed an agreement to sell its flour brand ‘Annapurna’ and salt brand ‘Captain Cook’ for Rs 60.4 crore.
The brands are being sold to Uma Global Foods and Uma Consumer Products, which are subsidiaries of Reactivate Brands International, a Singapore-headquartered company, HUL said in a release.
HUL added that its decision to divest is in line with the 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”.
While the initial press release did not include the deal’s consideration amount, news agency PTI reported the company as saying that the two brands are being sold for Rs 60.4 crore.
The deal to sell Annapurna and Captain Cook includes the transfer of trademarks, copyrights and other intellectual properties associated with India and several other geographies, the company noted.
Both the brands, launched over two decades ago, have made a significant mark in the Indian market. According to HUL’s chief executive officer and managing director Sanjiv Mehta, it is in the “business’ best interest” to sell Annapurna and Captain Cook to Reactivate Brands, “which is well-positioned to unlock their full potential”.
Uma Global Foods c-founder Ashok Vasudevan said both the brands “have a long history of providing high quality food products to Indian consumers”.
“We are confident of scaling them up and expanding globally, leveraging founders’ experience. These brands fit well with our mission to promote affordable wellness,” he added.
The sale agreement is subject to customary closing conditions, and HUL will continue to manage the business until the transaction is completed.