Tata Global Beverages' subsidiary acquires Bronski Eleven; stock up

MUMBAI: Shares of Tata Global Beverages moved higher in trade after its UK-based subsidiary acquired 100 per cent stake in Australia-based Bronski Eleven, which runs coffee business under the ‘MAP’ brand and has presence in the R&G coffee and coffee in Pods (single service portions) segments in Australia.

“The investment is in line with the Company's strategic vision to become a leader in the "good for you" beverage segment in Australia and it also helps Tata Global Beverages to expand its portfolio to include high growth contemporary single serve business,” the company said in a statement to stock exchanges.

According to Angel Broking, the acquisition would help TGBL to expand its portfolio to include high growth contemporary single serve business.

“At the CMP, the stock is trading at 17.1x its FY2016E EPS. We maintain our Neutral rating on the stock,” the brokerage said.

At 09:30 a.m.; the stock was at Rs 153.40, up 1.89 per cent, on the BSE. It touched a high of Rs 153.90 and a low of Rs 152.05 in trade today.