Widening Horizons     

Published: September 15, 2024
Updated: September 15, 2024

GRM Overseas Ltd.

Acquires single largest stake in Virat Kohli backed digital-first coffee brand "Rage Coffee"

GRM Overseas Limited, a leading player in India’s FMCG sector and a top exporter of premium basmati rice, has announced a significant strategic investment in Swmabhan Commerce Pvt Ltd, the parent company of the digital-first coffee brand, Rage Coffee. GRM Overseas has acquired a 44% single largest equity stake through a combination of primary infusion and secondary buyouts, marking a major step forward in its expansion into the fast-growing Indian coffee market.

Rage Coffee’s robust omnichannel distribution network spans D2C platforms, leading e-commerce and quick commerce marketplaces, over 1,000 HoReCa outlets, and more than 5,000 general trade and modern retail touchpoints across India. Bharat Sethi, Founder & CEO of Rage Coffee, expressed his enthusiasm for the partnership: “Our success is built on the trust and loyalty of our consumers and the passion of our team. With GRM, we have found a partner that not only understands our mission but also complements our strengths with their extensive distribution network, corporate capabilities, and deep industry expertise. Together with GRM, under the leadership of Mr. Atul Garg, we will achieve even greater heights and create lasting value for all our stakeholders.”

Atul Garg, Managing Director of GRM Overseas, shared his vision for the acquisition: “This strategic investment in Rage Coffee aligns perfectly with our vision to drive growth in digital-first, health-focused, and lifestyle brands. Bharat Sethi’s innovative approach has already made Rage Coffee a household name among consumers. We see enormous potential in expanding Rage Coffee’s presence in the domestic market and leveraging synergies with our established export markets. Coffee, as a product category, aligns well with our international growth strategy, and we are excited to combine our deep industry expertise and distribution capabilities with Rage Coffee’s dynamic offerings

The acquisition aligns with GRM Overseas’ broader strategy under its newly launched platform, 10X Ventures, which aims to invest Rs 200 crore in digital-first, new-age D2C brands. Rage Coffee is the first significant investment under this platform, signaling GRM’s intent to diversify and strengthen its portfolio in the FMCG space.

The company plans to capitalize on its vast distribution network to expand Rage Coffee’s presence both domestically and internationally, potentially supplying coffee beans and soluble powder to existing clients in international markets and opening coffee shops under the Rage Coffee brand. Nikhil Vora, CEO & Founder of Sixth Sense Ventures, added: “We are delighted to welcome GRM Overseas as a strategic investor in Rage Coffee. Over the last three years, Rage has built a formidable digitalfirst brand among new-age consumers in the coffee segment.

network will unlock significant market opportunities for Rage to scale internationally.” With this acquisition, GRM Overseas strengthens its position in India’s packaged food market, catering to the evolving preferences of new-age consumers. The company, which reported Rs 1,345 crore in revenue and Rs 105 crore in profits for FY24, aims to derive 20% of its future revenue from new-age companies like Rage Coffee while maintaining its leadership in the rice, atta, and edible oil sectors. This strategic move reflects GRM Overseas’ commitment to growing its presence in the FMCG sector, offering consumers a diverse range of high-quality, convenient food products that align with modern lifestyle choices. GRM Overseas also recently appointed Bollywood actor Salman Khan as its brand ambassador for the company’s 10X brand range of basmati rice and the 10X Shakti range of wheat flour.