Agro Tech Foods (ATFL), one of the leading players in India’s food and edible oils industry, and owner of brands like ACT II popcorn and Sundrop, has acquired 100% stake of Del Monte Foods (DMFPL), subject to required approvals. In tandem with this development, ATFL has proposed to rebrand itself as ‘Sundrop Brands’.
The rebrand will reflect a renewed commitment to its growth aspirations under new ownership. Furthermore, this transaction, approved by ATFL’s board, has added an established portfolio of food products under ATFL’s umbrella, marking a significant step forward in the company’s expansion plans.
DMFPL is a joint venture between Bharti owning 59.29% and DMPL India (owned by Del Monte Pacific) owning 40.71%. With this transaction, both Bharti and DMPL will receive shares of ATFL as consideration and will become public shareholders of ATFL post the transaction. Additionally, ATFL (through DMFPL) will acquire an exclusive, perpetual licence for the Del Monte brand in India, ensuring long-term access to this trusted brand for its growing consumer base.
DMFPL’s product line-up, including the Italian range, sauces, ketchup, dips and spreads, and beverages, complements ATFL’s product portfolio with focus on high-quality, innovative food solutions. The strategic transaction is expected to enhance ATFL’s presence across retail and food services sectors, expanding its reach to traditional retail, modern retail, quick-service restaurants and food services customers.
As part of this transaction, ATFL also gains access to Del Monte’s manufacturing and R&D facility in Hosur, Tamil Nadu and in Ludhiana, Punjab. This facility will play a key role in supporting the company’s expansion and the development of new product lines tailored to Indian consumers.
To lead this newly expanded platform, the company has appointed Nitish Bajaj as Group Managing Director (MD) of the company. He brings over 28 years of experience in consumer products and brand management. His previous roles include CEO of the Consumer Products Division at Piramal, Senior Vice President (SVP) of Marketing at CEAT Tyres, and leadership roles with Reckitt Benckiser, Ranbaxy Global Consumer Healthcare, and Heinz India.
Speaking on the development, Asheesh Kumar Sharma, CEO and Executive Director, Agro Tech Foods, said, “We are thrilled to welcome Del Monte Foods into the Sundrop Brands family. This partnership aligns perfectly with our enhanced vision of bringing joyful food experiences to the modern consumer. Working closely with Nitish Bajaj, we intend to deliver maximum value to all stakeholders through our enhanced mission of creating innovative, delicious and convenient food solutions for the modern consumer.”
Further, Harjeet Kohli, Joint MD, Bharti Enterprises, said, “Bharti is excited to announce the combination of ATFL and Del Monte Foods Private Limited, making Bharti the second largest shareholder in the combined platform. Leveraging significant synergies on the back of a profitable business model, trusted brands and a loyal consumer base, this transaction is set to bolster the scale and margin profile of the platform, potentially accelerating shareholder returns and offering a more diverse portfolio of high quality products to consumers. We look forward to the exciting journey ahead, with all engines fired up for accelerated growth.”
DMPL remarked, “India has been an exciting and flourishing market for Del Monte, and we are proud of the brand’s journey and impact on the Indian food industry. With Sundrop Brands’ experience and commitment, we believe the Del Monte brand will reach new heights in India. This transaction supports our strategic focus on core markets and partnerships that drive growth.”
