LT Overseas Buys US Rice Firm Kusha

LT Overseas, which owns the ''Daawat'' brand of basmati rice, has acquired the US-based Kusha Inc lock, stock and barrel. The acquisition was made through LTO NA, a wholly-owned US subsidiary of LT Overseas. The rice industry in the US is currently worth around $80 million and is growing 20% year-on-year. Kusha Inc, promoted by Sam Nayyer, is an established brand in Southern California with a revenue of around $40 million. It imports premium quality basmati rice from several countries in the Asian market including India. Following the $20-million acquisition, the Daawat group''s share in the US retail market will increase from 7% to about 51%, making it the largest basmati rice retailer in that country. LT Overseas, which posted revenues of Rs 485 crore in 2006-07, is one of the top three volume players in the domestic basmati rice market engaged in the business of milling, processing and marketing branded and non-branded basmati rice. The company also deals in research and development of rice and rice-food products. In the international market, its products are sold in more than 35 countries including the US, the UK, Canada and the European Union.