TGBL to exit from JV with Zhejiang Tea Group

Tata Global Beverages Ltd (TGBL) would exit from its Chinese JV Zhejiang Tata Tea Extraction Co Ltd (ZTTECL).

TGBL's board in a meeting held today "deliberated and accorded an in principal approval" to divest it stake in the JV ZTTECL "at an estimated enterprise value of Rs 33 crore", TGBL informed BSE.

However, it would be subject to necessary regulatory approvals, it added.

"The transaction will also be subject to completion of negotiations, definitive agreements and satisfaction of conditions precedent," TGBL informed.

ZTTECL is a 70:30 Joint Venture with TGBL having 70 per cent stake and Zhejiang Tea Group Company Ltd has remaining 30 per cent.