Agro Tech Foods Limited (BSE: 500215, NSE: ATFL), known for its popular brands like ACT II popcorn and Sundrop, is set for a transformation. The company announced its rebranding to Sundrop Brands alongside its acquisition of a 100% stake in Del Monte Foods Private Limited (DMFPL), marking a significant milestone in its growth journey. The transaction, subject to regulatory approvals, is expected to strengthen the company’s market presence and expand its product portfolio.
Strategic Acquisition and Rebranding
DMFPL, previously a joint venture between Bharti Enterprises (59.29%) and DMPL India Limited (40.71%), will now come under Sundrop Brands’ ownership. As part of the deal, both Bharti and Del Monte Pacific Limited (DMPL) will receive shares in Agro Tech Foods and become public shareholders in the company. Additionally, Sundrop Brands will gain an exclusive, perpetual license to use the Del Monte brand in India, ensuring its continued availability to Indian consumers.
The acquisition brings DMFPL’s diverse product line—spanning Italian foods, sauces, ketchup, dips, spreads, and beverages—into Sundrop’s fold, complementing its existing portfolio. The move is expected to boost the company’s reach across retail channels, quick-service restaurants, and food service sectors.
Access to State-of-the-Art Facilities
As part of the deal, Sundrop Brands will also acquire DMFPL’s advanced manufacturing and R&D facilities in Hosur, Tamil Nadu, and Ludhiana, Punjab. These facilities are expected to play a pivotal role in supporting product innovation and scaling up operations to cater to the growing Indian market.
Leadership Transition
To steer this new phase, Sundrop Brands has appointed Nitish Bajaj as Group Managing Director. Bajaj, a seasoned executive with 28 years of experience, has held leadership roles at Piramal, CEAT Tyres, Reckitt Benckiser, and Heinz India. His appointment underscores the company’s focus on strengthening leadership to drive its ambitious growth plans.