Tata Buys Stake in vitaminwater

MUMBAI, India & WHITESTONE, N.Y.—Tata Inc., an India-based company with holdings in the U.S. beverage industry, has purchased a 30-percent stake in Glaceau, maker of vitaminwater products. Under terms of the definitive agreement, Tata (www.tata.com) will invest $677 million to purchase the Glaceau stake formerly owned by TSG Consumer Partners, a private equity firm operating in the healthy foods segment. The agreement will provide Galceau with the ongoing capital needed to meet the demand for vitaminwater products, while strengthening Tata’s U.S. beverage presence, which includes the Tetley and Good Earth tea brands.

“For more than 100 years, the Tata Group has built a global reputation on the fundamental premise that doing good can translate into doing good business,” said R.K. Krishna Kumar, vice chairman of Tata Tea and a director of Tata Sons. “Glaceau exemplifies this philosophy in its vitaminwater product, which was created to give people the nutrients they need every day.”

Mike Repole, president of Glaceau, added, “The really good news for our employees, distributors and retailers who are responsible for our success is that this partnership ensures our continued independence.”