Patak to sell UK food business for 200 million pounds
14 March 2007

Mumbai: The UK-based Indian food major Patak's, whose spicy pickles and other products tickle the palates of millions in the UK every day, has been put up for sale with a price tag of £200 million.

Patak's products include Indian cooking sauces, curry pastes, chutney, pickles, ready meals, snacks and breads and sells products to over 40 countries worldwide, from Australia to Canada through distributors and major retailers.

It also manufactures own-brand products for supermarkets, including Tesco, Asda, Sainsbury's, Waitrose and Morrisons. Patak's employs some 650 staff, just over half at its factory near Wigan.

Patak's Indian food empire has been embroiled in a bitter family feud over ownership of the company a few months ago.

Kirit Patak, who emerged as 100-per cent owner of the business in October last year following a court battle with his two sisters. He runs the company with his wife Meena, the group recipe director and a cookery writer.

Patak's has appointed Rothschild bank to "review strategic options for the future development of the business" and is looking for either an equity partner or buyer, so that the business has the distribution network and the marketing muscle to compete with the likes of Sharwoods, Premier Foods' Indian food brand.

The company believes that Indian food could grow globally in the way similar to Chinese or Italian food.

"The growth of Patak's over the past decade has been a remarkable success story. Our goal is to be the world's leading supplier of authentic Indian food and we have exciting plans for the future development of the business, said the 54-year-old Patak.

Patak's had a turnover of £66 million last year, forecast to achieve £71 million in 2007.

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