US-based Argonaut Private Equity, which manages more than US $3.5 billion capital, has invested into Kochi (India) based Vallabhdas Kanji Limited (VKL).
Argonaut's investment follows an investment by UTI Venture Fund in 2006 that allowed VKL to set-up a green field, state-of-the-art pepper processing facility in Vietnam and the acquisition of Beeta Chemicals, a leading flavors and fragrances firm in India. Combined, this gave VKL an overseas manufacturing facility closest to the world's largest pepper growing areas and a larger product offering through the addition of the IP-intensive flavors and fragrances business.
Argonaut funding will allow VKL to expand its global sales and marketing for private-label business, further strengthen manufacturing capability and leverage synergistic inorganic growth opportunities in India and abroad.
Anil Khatod, Managing Director of Argonaut Private Equity, believes that VKL's origin-based global delivery model has tremendous value in the food ingredients business worldwide and VKL's model would allow the company to continue its global expansion.
Commenting on the Series B investment in VKL, Ajay Mariwala, Managing Director, said: “Having the confidence of a PE fund like Argonaut gives VKL the added thrust to more aggressively pursue its growth plans. Rapid near-term inorganic growth is definitely on the cards.”
Adds VKL Chairman J V Mariwala, “VKL is on its planned growth trajectory to continue to deliver to all its stakeholders.”
ABOUT VKL:
VKL is part of the USD 150 million Kanji Moorarji Group, headquartered in India.
Established in 1935 and credited with establishing global standards in black pepper, VKL is a leader in the global spice trade. VKL has a customer base that includes Fortune 500 companies and spans 40 countries.
Over the last 3 years, the Company has entered three new lines of business — seasonings, private-label and flavors & fragrances.
VKL is a key supply-chain and ingredient solutions partner to leading fast food, snack-food, processed food, RTE (ready to eat) and other food segment companies.
VKL also does private-label packing of spices & seasonings for some of the premier overseas retail and food-service Companies.
In India, VKL operates four manufacturing facilities out of Cochin and Mumbai and has 100% owned subsidiaries in the US, Germany and Vietnam, and agents / representative network across the globe.
A leading India based venture fund, UTI – VF, invested in VKL in 2006.
ABOUT ARGONAUT PRIVATE EQUITY:
Argonaut Private Equity is a diversified global private equity fund with more than $3.5 billion under management. Argonaut exercises wide discretion on investment size, stage, sector and geography. Its equity investments span such diverse markets as alternative energy, technology, financial services, media, telecommunications, medical devices, aviation, retail and healthcare. In addition to an active investment pace in India, Argonaut's portfolio includes investments in the United States, China, Israel, Japan, Eastern Europe and Australia.
Source: PR News Wire