Basmati rice company GRM Overseas announced on Monday the sale of more than a 3% stake in its subsidiary, GRM Foodkraft, to venture capital fund Sauce.vc. The exact amount of the undisclosed deal was not disclosed. Sauce.vc has additionally acquired an extra 1% stake from other shareholders in GRM Foodkraft, which primarily focuses on the domestic foods business.
Atul Garg, Managing Director of GRM Overseas Ltd., expressed excitement about bringing Sauce.vc on board as a strategic investor, expecting to leverage the fund’s wealth of experience and a proven track record in creating new-age brands. Garg highlighted the goal of evolving their brands into distinguished names in their respective product categories.
The collaboration with Sauce.vc aims to identify emerging areas for launching new brands in packaged foods and explore a deeper presence in digital channels, including e-grocers, quick commerce, and e-commerce. Garg emphasized that Sauce’s investment aligns with their commitment to rapidly scale and diversify the product portfolio.
GRM Foodkraft operates in both online and offline retail, along with the Direct-to-Consumer (D2C) segment. The subsidiary boasts over 52 Distribution Centres (DCs) and serves a vast network of more than 160,000 Kirana stores. GRM Overseas manages three rice processing units, with a combined annual production capacity of 440,800 MT located in Panipat (Haryana), Naultha (Haryana), and Gandhidham (Gujarat).
