Tata Global Beverages sells stake in JV for Rs 120 cr

Tata Global Beverages (TGBL) has sold its stake in joint venture firm Estate Management Services Private Limited (EMSPL) for a consideration of Rs 120 crore.

The company said it has divested stake as part of its overall strategy to focus on branded business in key geographies.

"...the company, vide a share sale and purchase agreement, amongst, Sunshine Holdings PLC, Estate Management Services Private Ltd (EMSPL) and the company, dated December 28, 2017, divested its holdings of 1,20,78,406 shares in its joint venture, EMPSL, constituting 31.85 per cent of the issued capital of EMSPL for a consideration of about Rs 120 crore," TGBL said in a BSE filing.

"Consequently, EMSPL has ceased to become an associate of the company effective December 28, 2017," it added.

Shares of TGBL settled 0.52% higher at Rs 306.60 on the BSE.

EMSPL, Sri Lanka is the holding company for Watawala Plantations Ltd. Watawala is one of the largest producers of tea and palm oil in Sri Lanka.

Last month, TGBL completed the sale of two of its subsidiaries in Russia -- Sunty and Teatrade -- for 375 million roubles (about Rs 41 crore).

TGBL in August announced sale of its business in Russia as part of restructuring operations in that country.