McLeod Russel’s unit acquires 75 percent stake in US firm

By IANS,

Kolkata : Borelli Tea Holdings Ltd, the Britain-based subsidiary of Indian tea producer McLeod Russel, has acquired 75 percent equity stake in Olyana Holdings LLC of the US for $2.75 million.


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Borelli and Olyana signed a shareholders’ agreement in this regard Monday, McLeod Russel chief financial officer Kamal Beheti said here Tuesday.

The balance 25 percent will be held by Olyana promoter George W. Rubagumya.

Olyana had earlier signed a share sale agreement with the government of Rwanda for acquiring 60 percent shares in Gisovu Tea Co in the African country.

“Like our company, Gisovu Tea is engaged in growing and manufacturing of tea and has a processing factory producing around 1.7 million kg of tea annually,” Beheti said.

Olyana’s acquisition of the controlling stake in Gisovu Tea is on a long-term basis with an objective of developing its plantation, and improving manufacturing and marketing activities to make it globally competitive.

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