Tata Consumer Acquires 5% More of Capital Foods

Tata Consumer Products has acquired an additional 5% stake in Capital Foods, raising its ownership to 80%. The transaction was completed on September 1, 2026, as informed to the stock exchanges.

The company now holds 27,95,533 equity shares of Capital Foods, with each share carrying a face value of Rs 10. This represents 80% of the target company's paid-up equity capital.

Tata Consumer had initially announced its decision to acquire up to 100% of Capital Foods in January 2024 and subsequently completed the purchase of a 75% stake in February 2024. The remaining 25% interest was to be acquired within three years of the initial transaction.

The latest purchase marks another step towards gaining complete ownership of Capital Foods, which owns packaged food brands Ching's Secret and Smith & Jones. The portfolio of Capital Foods spans sauces, noodles, soups, chutneys, masalas, and cooking pastes, giving Tata Consumer a stronger position in India's fast-growing packaged foods market.

The acquisition fits Tata Consumer's strategy of expanding its higher-growth food and beverage portfolio. The company has been widening its presence beyond salt, tea, and coffee through acquisitions and new product launches across emerging consumer categories.

After completing the latest transaction, Tata Consumer still needs to acquire the remaining 20% stake to secure full ownership of Capital Foods. The company has not provided a fresh timeline or financial details for purchasing this residual holding.

Tata Consumer Products has been performing well, with its Q3 net profit rising to ₹321 crore and revenue climbing 15% YoY to ₹3,684 crore. The company's revenue from operations also grew by 12% at ₹3471 crore in Q1FY24.

The acquisition of Capital Foods is expected to strengthen Tata Consumer's position in the Indian packaged foods market. With its expanded portfolio, the company is well-positioned to capitalize on the growing demand for packaged foods in the country.

The development is a significant step forward for Tata Consumer in its pursuit of expanding its presence in the food and beverage industry. As the company continues to grow and expand its portfolio, it is likely to have a positive impact on the Indian packaged foods market.