Reliance Consumer Products Ltd, the fast-moving consumer goods counterpart Reliance Industries Ltd, is set to acquire a controlling stake in Lotus Chocolate, stated a regulatory filing.
Reliance Consumer Products Ltd (RCPL) has signed an agreement with the promoters of Lotus Chocolate, which deals in chocolates, cocoa products and cocoa products.
In accordance with the agreement of the purchase of shares, RCPL aims to acquire 77 per cent of the paid-up share capital of Lotus Chocolate. This is done through a “secondary purchase” from the promoters Prakash Peraje Pai and Ananth Peraje Pai, after the mentioned open offer.
In the regulatory filing, Lotus Chocolate averred that a shareholders agreement (SHA) has been implemented between RCPL and the group of promoters including Prakash Peraje Pai, Ananth Peraje Pai, Poornima Pai, Nivedita Pai, Ashwini Pai, Abhijeet Pai, Aman Paiand and Aditya Pai.
As per the stated SPA, Prakash Peraje Pai and Ananth Peraje Pai had proposed to sell off the equity shares of the company to RCPL. Both of them had jointly acquire 57 per cent stake in Lotus Chocolate, as of September 2022 end.
“The transaction contemplated under the SPA and SHA has also triggered an obligation on RCPL to make an open offer to the public shareholders of the Company…,” the notice said.