GRM Overseas Offloads Stake In GRM Foodkraft To Venture Capital Fund

GRM Overseas Ltd has sold its over 3 per cent stake in GRM Foodkraft Pvt. Ltd., its main subsidiary for domestic sales, to Sauce.vc, an early-stage venture capital firm focused on consumers, for an unknown value. GRM Foodkraft, which sells a variety of products under several grocery brands, plans to use the money to strengthen its domestic presence, expand its brand, and create more robust distribution networks throughout India.

Commenting on the step towards fundraising, Atul Garg, MD, GRM Overseas said, "We are delighted to welcome Sauce.vc as a strategic investor. We look forward to deriving substantial advantages from the wealth of experience and a demonstrable history of value creation from Sauce.vc. Our goal is to evolve our brands into distinguished names in their respective product categories. The investment aligns with our commitment to bigger outreach and diversify our product portfolio as we embark on a new trajectory of growth."

Manu Chandra, Founder & Managing Partner, Sauce.vc said, "GRM Foodkraft is an emerging consumer staple company and is being guided by a strong vision of strengthening retail outreach and market penetration. GRM woodcrafts is a key addition to our diverse portfolio of investments and we would like to play an enabling role to help GRM Foodkraft achieve its mission."

Under the brands Himalaya, Tanush, and 10X, GRM Foodkraft offers a range of products including Basmati rice, wheat flour, besan, daliya, spices, and more. GRM Foodkraft is active in the D2C market as well as online and physical retail. It serves more than 1,60,000 Kirana shops and more than 1.3 trillion individuals through more than 52 Distribution Centres (DCs).

GRM is one of India's top 5 exporters of basmati rice and has grown its market for rice from its modest beginnings in 1974 to 42 nations. In addition to selling products under its own brands, 10X, Himalaya River, and Tanoush, GRM also sells through private label arrangements under customers' brands.
On Friday, the shares of GRM Overseas closed on the NSE at Rs 188.10 apiece.