The Hindu Business Line : Britannia acquires stake in Daily Bread

Britannia Industries Ltd (BIL) has acquired a strategic stake in Daily Bread, a Bangalore-based boutique manufacturer and retailer of high-end bakery products, which includes a variety of European breads, pastries and savouries.

Britannia did not specify the quantum of stake acquired, but Ms Vinita Bali, Managing Director, said, "We would be buying the entire 50 per cent of CCD's stake over a period."

Daily Bread is an equal joint venture floated by CCD and Mr Arjun Sekri, which operates in both the institutional and retail segments.

Premium products

While stating that the market for premium products was evolving in the country and had a growth potential, Ms Bali said Britannia's investment represented its strategic intent to diversify its product portfolio into the fast-growing, high-end, branded freshly-baked gourmet foods, and marked its entry into the premium `out of home' and `in home' consumption.

The company will use this as a vehicle to supplement its core business with a fast-growing high-margin line of products and will work on developing a national footprint for Daily Bread.

"For Britannia, this represents a new growth opportunity, and over the next few months, you can expect to see a number of offerings and expansion in other cities," she added.

Future plans

Daily Bread will soon introduce Italian Gelato and frozen desserts in the Indian market.

The plans also include launching European-style Delicatessen's and food emporiums in major metros.

More Stories on : Mergers & Acquisitions | Food & Dairy Products

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