Tata Coffee in talks to acquire V G Siddhartha’s 12,000 hectares of coffee plantations

News Network
September 25, 2020

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Bengaluru, Sept 25: Tata Coffee has reportedly started negotiations to acquire 12,000 hectares of coffee plantations belonging to Cafe Coffee Day founder V G Siddhartha for Rs 1,200-1,500 crore.

Coffee Day's operations, including personal assets and coffee plantations, is currently being handled by Siddhartha's wife, Malavika Hedge, after he died by suicide last year in August amid allegations that he faced pressure from lenders, a private equity firm and harassed by tax officials.

This development comes on the heels of Tata Consumer Products (TCP) approving an exploration of acquisition of Cafe Coffee Day's vending machine business. CCD is looking for a valuation of about Rs 2,000 crore for the same, a Bloomberg report said.

Siddhartha is believed to have availed loans worth Rs 2,000 from banks like HSBC, Rabo Bank, Lakshmi Vilas Bank, RBL and IndusInd Bank. Some of the lenders have already initiated recovery proceedings against the plantation assests last November.

"Discussions between Tata Coffee and Hedge started in February but were put on hold because of Covid," a source told the publication. "Talks have resumed, though the deal may be in preliminary stages," he added.

A family representative, however, told that the information is speculative and is to be treated as baseless rumours. The representative further stated that none of the lenders have invoked recovery procedings on plantation assets.

Apart from the coffeee plantations, Siddhartha also owned silver oak and timber plantations priced at about Rs 2,000 crore. His personal assets included The Serai Resorts, a luxury hospitality resorts.

Tata group has completed the restructuring of the consumer business and TCP’s joint venture with Starbucks progressing well. Deliberations to acquire the plantations are largely with the view of scaling up Tata Coffee’s land base. TCP holds 57.48 per cent stake in Tata Coffee.

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News Network
March 27,2024

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Gokarna (Uttara Kannada): Karnataka Deputy Chief Minister D K Shivakumar on Wednesday said the Congress will decide about making him the Chief Minister in future, bringing to the fore again the issue of leadership change.

There was stiff competition between Siddaramaiah and Shivakumar for the Chief Minister's post after the Assembly election results in May last year, and the Congress had managed to convince the latter and made him the Deputy Chief Minister.

There were some reports at the time that a compromise had been reached based on a "rotational Chief Minister formula," according to which Shivakumar will become CM after two-and-half years but they have not been officially confirmed by the party.

During a temple visit here, a priest prayed that God's blessings may be showered on Shivakumar, and he became the Chief Minister.

Speaking to reporters here in Uttara Kannada district, Shivakumar, who has in the past made no secret of his ambition to become Chief Minister, amid speculations of change in guard mid-way of the Assembly term, responded to talk in some political circles about the leadership issue.

"What's wrong if a priest expresses his desire before God while praying? The priest has expressed his desire. Now Siddaramaiah is the Chief Minister, I'm working as Deputy Chief Minister under him, also as party's state President. People speak about it and desiring it (Shivakumar should become CM) is a different matter, it will be decided by our party," Shivakumar said.

"Now we are all working under the leadership of Siddaramaiah, and our desire is that the state should progress further under his leadership," he said.

"There will be people including supporters and priests, who pray for us, they will express their opinion. Can we stop them from doing it? At the temple it is between God and his disciple, they have expressed their feelings to God," Shivakumar added. 

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News Network
March 17,2024

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Bengaluru: The Vokkaliga heartland of the old Mysuru region consisting of several southern districts will be the testing ground for the recently forged BJP-JD(S) alliance in Karnataka in the Lok Sabha polls.

The ruling Congress will now look to consolidate its gains that it made in the assembly elections in May last year when it made inroads into the strongholds of the regional party headed by former Prime Minister H D Deve Gowda in these districts.

In the 2019 Pariamentary elections, the Congress and JD(S) fought together but secured only one seat each in the state. The BJP bagged 25 out of the total 28 Lok Sabha seats.

The Congress and JD(S) win, in fact, came in the old Mysuru region -- Bangalore Rural and Hassan, respectively, while Mandya seat went to an independent backed by the BJP.

This time, the JD(S) has an alliance with BJP. According to sources, the JD(S) is likely to be alloted Hassan, Mandya and Kolar seats in the region, from where Deve Gowda's party draws its strength from in Karnataka.

The JD(S) is now looking to bounce back after the drubbing it received in the May assembly polls.

The Congress and JD(S) are considered to be traditional rivals in the region, where the BJP has also been improving its vote-share.

The BJP-JD(S) alliance hopes to counter the Congress' surge in the region, determined to consolidate Vokkaliga votes in their favour and banking on the Modi charisma. Both parties also hope to gain from each other with this alliance.

The Congress is hoping to further its prospects and continue its dominance in the region, with the help of its strong local leadership and riding on its five guarantee schemes.

Both Chief Minister Siddaramaiah and Congress state President D K Shivakumar, who is also the Deputy Chief Minister come from this region, and so does JD(S) patriarch Deve Gowda and his son H D Kumaraswamy, a former CM and that party's state President.

According to a political analyst, 'coordination among local leaders and transfer of votes between the parties are going to be key for the BJP-JD(S) alliance to click.' Lack of trust between sizeable workers and leaders of both parties on the ground had proved to be counterproductive for Congress and JD(S) combine in the 2019 Lok Sabha polls, resulting in their rout and helping the BJP.

Both Congress and BJP have announced candidates for some seats in the region for the 2024 polls.

The Congress has re-nominated D K Suresh, brother of Shivakumar, from Bangalore Rural.

Interestingly, the BJP has fielded the scion of the erstwhile Mysuru royal family Yaduveer Krishnadatta Chamaraja Wadiyar from Mysore and noted cardiac surgeon and Deve Gowda's son-in-law, Dr C N Manjunath, from Bangalore Rural.

In Karnataka, the Lok Sabha elections will be held in two phases on April 26 and May 7.

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News Network
March 26,2024

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Mangaluru: Officials from Cyber Economic and Narcotics Crime Police Station in Mangaluru have arrested a man for allegedly engaging in an online fraud by deceiving a person on the pretext of offering a part-time job. The arrested is Saddam Gauri alias Bavuri, 30, from Rajasthan.

City police commissioner Anupam Agrawal said the CEN police received a complaint regarding an online scam related to a part-time job offer.

Police registered a case under sections 66(C) and 66(D) of the IT Act, along with IPC Section 420. The complainant had received a link via WhatsApp from an unknown number, purportedly offering a part-time job opportunity.

Upon clicking the link, the complainant was instructed to complete certain tasks to earn money. However, during the process, the complainant incurred a loss of Rs 1.1 lakh.

Following an investigation into the matter, the CEN police successfully arrested the suspect and presented him before the court. In the course of arrest, police seized two mobile phones, eight debit cards, four bank cheque books, Aadhaar card, PAN card, and other relevant documents from the accused.

The arrest was made possible through the efforts of CEN station inspector Shyam Sundar and his team, under the guidance of City Crime Records Bureau (CCRB) ACP Ravish Nayak and DCP Siddharth Goyal.

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