NEW DELHI: ITC said that strategic acquisitions made by the company in recent times are playing an important role in addressing the evolving set of consumers who are seeking premium, healthy and nutrition-rich products. The FMCG major stated that these acquisitions have been structured in a manner that allows ITC to gain from the entrepreneurial zeal and start-up mindset of the founders, whilst leveraging their institutional strengths.
“ITC is building a portfolio across all businesses to win the markets of tomorrow, harnessing its extensive institutional synergies to seize emerging opportunities. This is powered by a three-horizon strategy that focuses on 1) fortifying the core, 2) addressing value-added adjacencies and 3) nurturing new vectors of growth aligned to emerging trends,” said ITC chairman Sanjiv Puri at the company’s annual general meeting 2025.
Puri stated that India’s consumer market is at the cusp of a profound transformation with per capita incomes projected to exceed $4,000 by 2030 and Gen Z, poised to become a predominant part of the workforce, is expected to account for every 2nd rupee spent by 2035.
“Segments like health & wellness, nutrition, functional foods, organic and naturals are poised to become megatrends of the future. New generation channels are also transforming the market and accentuating these trends. ITC’s diverse enterprise strengths provide strategic competitive levers to capitalise on these evolving trends and deliver innovative value propositions to consumers,” said Puri.
Puri stated that over 100 new, differentiated and superior products were launched last year, anchored on the vectors of Health & Nutrition, Hygiene, Naturals, Protection & Care, Convenience, & On-the-Go. “Even as we strengthen our mega brands, we are also introducing new brands and pursuing value-accretive acquisitions to address emerging opportunities and whitespaces,” he said.
The chairman highlighted the acquisitions of Yoga Bar and 24 Organic Mantra. “With an impressive array of 100+ products, they are a pioneer in the organic staple space in India, besides a promising footprint in the US,” he said.
ITC also expect the frozen food category to grow. Puri said that the company is fortifying its presence in this category with the acquisition of Prasuma, which has developed several first-to-market Pan Asian frozen products spanning over 170 options in 100+ cities.
On the acquisition of Mother Sparsh, Puri said, “As consumers seek specialised natural solutions, more so young mothers for their newborns, ITC has signed definitive agreements for the acquisition of Mother Sparsh, a front-runner in the premium ayurvedic, natural baby care and hygiene space. This segment is under-penetrated in India, providing the opportunity to scale up and create a category of the future.”