Indian conglomerate Future Group has entered into a joint venture with local rice supplier LT Foods that will see the two companies take equal stakes in a new business, Genoa Rice Mills.
Future’s consumer goods arm, Future Consumer Ltd, and LT Foods will each hold a 50% stake in Genoa, a new company the partners have formed through the venture.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The venture will focus on the sourcing, marketing, manufacturing, sales and distribution of Sona Masoori regional south Indian rice.
A spokesperson for LT Foods said Genoa Rice Mills would be based near Bangalore, with Future Group investing capital in the new entity’s production.
The partners will market the rice made by Genoa Rice Mills under its own brands, the LT Foods spokesperson added.
Future Consumer Ltd and LT Foods first agreed to examine ways to cooperate in the rice sector in March. The joint venture agreement is a “continuation” of these discussions, FCL noted.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataFurther financial terms of the transaction were not disclosed.
Future Consumer Ltd noted the investment was part of its strategy to build the company as a “food and FMCG company for the next generation”.
