MTR owner Orkla restructures India biz into 3 units
Publication: The Economic Times
Synopsis
Norwegian group Orkla ASA is restructuring its Indian operations into three units – MTR, Eastern, and International Business. The move aims to enhance business capabilities and drive growth. Sanjay Sharma, the CEO of MTR, will lead the business as Orkla India CEO, overseeing the operations of the three units.
MTR Foods owner Norwegian group Orkla ASA on Wednesday announced the restructuring of its India business into three units – MTR, Eastern and International Business.
The group announced the reorganisation of its Indian operations under one business entity – Orkla India.
As a part of this reorganisation, Sanjay Sharma, chief executive of MTR will lead the business as Orkla India chief executive. He will be responsible for overseeing the operations of the three business units with each having its own independent chief executives, reporting in to him.
The company said Orkla India will now have a wider product portfolio, adding that MTR and Eastern will stay independent identities but draw mutual synergies, scale, expertise and cost advantage.
Atle Vidar Nagel Johansen, chairman of Orkla India, said in a statement: “Our acquisition of Eastern has significantly scaled our business in India. The three business units will play a pivotal role in fortifying Orkla’s overall portfolio.”
Sharma said each of the business units is at a different stage of evolution, and being reorganised under one umbrella will help accelerate growth.
MTR Foods’ portfolio includes breakfast mixes, ready-to-eat and ready-to-cook foods, spices, meal mixes and sweets.
Orkla completed the acquisition of 67.82 per cent shares in Eastern Condiments over two years back. The acquisition was carried out through MTR Foods. The acquisition gave Orkla nine factories across six Indian states. MTR Foods, on the other hand, was set up in 1924 and has been part of Orkla since 2007.