Equistone-backed GALA Kerzen acquires majority stake in Ramesh Flowers

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Germany-based GALA Kerzen, a leading manufacturer of candles, has acquired a majority stake in Ramesh Flowers, an Indian manufacturer and exporter of potpourri, air fresheners, incense sticks, candles and decorative products. Both the companies refused to disclose the financial terms of the deal.

This strategic partnership will expand both GALA Kerzen and Ramesh Flowers’ range of high-end scented and decorative products and enable the groups to move into new markets, said the companies.

The deal represents a strategic expansion for Equistone and its portfolio company GALA Kerzen.

Founded in 1982 at Tuticorin, southern tip of Tamil Nadu by Mahendra Raj Singhwi, who continues to run the company today, Ramesh Flowers has around 3,000 workers at its production sites in India and Temecula (California, USA).

The company supplies international retail chains in its target markets of Europe and the US. The US market alone accounts for more than 43 per cent of Ramesh Flowers’ exports. The acquisition will open up new opportunities for GALA Group in both adjacent segments and in new target markets.

Mahendra Raj Singhwi, managing director of Ramesh Flowers, said that this partnership would be synergistic to both parties because of complimentary client portfolio and diverse product offerings. He added this would help the company further grow its recently launched local brand, Maeva, which sells Scented Candles and various home décor and gift articles through various online channels.

Ramesh Flowers is a leading manufacturer and exporter of home décor and home fragrance products, supplying to international retail chains in Europe and the US.