Indian conglomerate Godrej has raised its stake in local dairy business Creamline Dairy Products to above 50% of the outstanding share capital.
Godrej already held 26% of CDPL, the company revealed in a regulatory filing. Financial details of the transaction were not disclosed.
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“The board of directors of [Godrej] believes [Godrej] will benefit from CDPL’s expertise and strong market position in dairy business. [Godrej’s] introduction as a majority shareholder is expected to significantly enhance the company’s growth prospects and competitive position,” Godrej said in a statement.
CDLP is a “prominent” dairy company in south India where it operates the Jersey brand, Godrej revealed. Its business spans Telangana, Andhra Pradesh, Tamilnadu, Karnataka and Nagpur.
In order to extend its geographical presence, CDPL is “intensifying” its procurement operations in Tamilnadu, Karnataka and Maharashtra, setting up three new facilities to manufacture value added products in these regions.
