Tata Tea arm to acquire Czech firm

The acquisition has been funded by Tetley Group, the company informed the Bombay Stock Exchange.

Jemca has a 26.6 per cent volume share of the Czech tea market and a turnover of about $12.5 million. It will continue to pack teas at its production facility at Jemnice in Czech Republic and continue to trade under the 'Jemca' brand name, it added.

"This acquisition is a further development of our plans to grow the Tata Group's tea business around the world. It gives us a market leading position in an area where tea consumption is high and where we have not been previously represented.

"The experience and skills of Jemca and Tetley complement each other well and will combine to create a significant presence in Eastern Europe," Ken Pringle, executive vice chairman and CEO of Tetley group and director of the company said.

The company's shares were trading at Rs 864, up 3.26 per ent at the BSE.