Bennett Coleman & Co to invest in Dalmia Continental

The media company will buy 12 per cent equity in the promoters of Leonardo Olive Oil and Hudson Canola Oil.

The publishers of the English newspaper The Times of India (TOI), Bennett Coleman & Co (BCCL) has announced its intention to buy up to 12 per cent equity in Dalmia Continental (DCPL), promoters of Leonardo Olive Oil and Hudson Canola Oil, for an undisclosed amount.

Bennett Coleman & Co to invest in Dalmia Continental

In an official communiqué, the spokesperson of BCCL says, "The Times Group has consistently helped promising brands to achieve their potential. By targeting investments to selected brands that have high potential, the Times Group has assisted several brands to become super-brands."

V N Dalmia, chairman, Dalmia Continental, says, "We will not rest until olive oil becomes the main cooking medium in India. There is also higher purpose behind our efforts: to improve the health of the nation. Our sole aim is not only to make profits."

DCPL is the flagship company of V N Dalmia, son of Ramkrishna Dalmia, the founder of the Dalmia-Jain Group.

DCPL plans to spend about Rs 100 crore towards its marketing initiatives in a span of five years. The Leonardo ad campaign, launched last year, was a part of this effort and was designed by Euro RSCG.

In 2011-12, Leonardo Olive Oil experienced a growth rate of 120 per cent in its revenue, with its sales touching a total of Rs 40 crore, as per the company. In September 2012, the olive oil major sold 27 per cent stake to Italian firm Nicola Pantaleo for an undisclosed amount.

According to the company, Leonardo Olive Oil holds 30 per cent share in the olive oil market in the country and Hudson Canola oil is imported from Canada.

For the record, DCPL launched Leonardo Olive Oil in 2003 and has, since then, grown at 120 per cent a year (compounded annual growth). Today, Leonardo is the leading brand in its product segment and a pioneer in establishing the popularity, image and use of olive oil in India.

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