R&A Foods buys Nilgai Foods Pico in an all-stock deal
R&A Foods buys Nilgai Foods Pico in an all-stock deal

Mumbai based R&A Foods has acquired Nilgai Foods ‘Pico’ Express in an all-stock deal.

The chain which owns QSR chains like Paninaro and Pronto has however did not disclose the financial details of the deal.

“R&A Foods is valued at Rs 30 crore after the transaction. Also, Nilgai Foods, the parent company of Pico Express, has now become a significant stakeholder in R&A Foods,” shared Aditya Parikh, director of R&A Foods.

The company is also capitalising itself on healthy QSR segment as all the Pico outlet will now be rebranded as Paninaroa health food brand in next few months.

"With the addition of the Pico outlets, Paninaroa will now be in a unique position. Our goal is to provide fresh, healthy food to every commercial district within Mumbai and with our combined footprint; we will be able to do just that,” added Parikh.

At present, Pico Express has 11 outlets across Mumbai. Meanwhile Paninarao food is planning to add 22 more outlets in Mumbai by the end of the year, expanding the brand to Pune, Bengaluru, Delhi and Hyderabad.

Post the rebranding, there will be 13 Paninaro outlets in Mumbai along with a food truck under the same brand, added the statement.

"In some areas of our operation, we saw that there was overlap in business and bringing the two brands together would bring in cost efficiencies," said Abhay Jaiswal, CEO, Nilgai Foods. "Moreover, our ethos and customer segment is identical."

Started in 2011, Nilgai Foods is an integrated foods business which manufactures and sells jams, sauces, dips, dressings and baked goods under the brand name of Pico through a network of third-party retailers across Mumbai, Delhi and Bangalore.

"Nilgai will now focus on processed foods and, in a couple of months, expand the retail footprint to more cities," added Jaiswal.

 
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