The company said that the agreement accelerates its strategy in expanding the manufacturing and distribution of FMCG products globally.

The acquisition will give CCL an access to major supermarkets in the UK, which is Europe's largest instant coffee market with annual retail sales of $850 million (Rs 69,187 billion).

Percol is a much-loved progressive brand, launched in 1987 which achieved several notable milestones and has stood for sustainability all along. The Percol product range currently comprises of instant coffee, roast & ground coffee and coffee bags. Incidentally, CCL had been a preferred supplier of some of their SKUs and blends in the past.

Commenting on the acquisition, Praveen Jaipuriar, CEO said “Percol is an exciting venture and a brand with undoubted favourable heritage. In close cooperation with our UK sales & marketing partner we will innovate, introduce new products and focus on B2C and B2B marketing to realise value for our shareholders, employees, partners & clients.”

Daniel Styrenius of Lofbergs Coffee Group commented, “Percol is a tremendous brand and one which we are proud to have been the custodian for since 2013. The sale allows us to focus on the Löfbergs Roast & Ground and Whole Bean business which is growing rapidly in the UK.”

CCL Products is a leading manufacturer and exporter of instant coffee and private label coffee products. It has become the largest exporter of instant coffee worldwide with a global clientele base in over 90 countries.

The company's consolidated net profit surged 61.84% to Rs 85.29 crore on 38.23% increase in net sales to Rs 520.08 crore in Q4 FY23 over Q4 FY22.

The scrip declined 1.27% to Rs 634.30 on the BSE.