Jay Shree Tea enters Africa with three tea estate acquisitions
27 Apr 2010
B K Birla Group tea producer Jay Shree Tea & Industries Ltd, one of India's biggest tea producers has announced the acquisition of three tea gardens in East Africa – two in Rwanda and one in Uganda.
the acquisitions are being made through its Dubai-based investment arm Birla Holdings Ltd.
The company said it is acquiring the three tea estates at a total cost of Rs30 crore, adding 5.3 million kg to is current production of 23.5 million kg.
The Kolkata-based JTIL is acquiring 100 per cent of Kijura Tea Company Ltd of Uganda that produces 1.2 million kg of high quality CTC tea, for approximately Rs11.5 crore.
It is also acquiring a 60 per cent stake each in Mata Tea Co Ltd and Gisakura Tea Co Ltd in Rwanda through Tea Group Investment, an equal joint venture between Rwanda Mountain Tea-SARL and Birla Holdings.
JTIL has paid Rs18 crore for its 30 per cent stake in both the Rwandan tea estates, which have a combined production 4.1 million kg of tea annually.
