With the intention to strengthen its presence in the Russian beverages market, Tata Tea declared that the company, through one of its abroad arms, along with EBRD (European Bank for Reconstruction and Development) is all set to get hold of 51% equity stake in Russian packaging and distribution company ‘Grand’.

Grand is mainly focused on regions outside the big cities and areas including the Urals, Siberia and Southern Russia.

Tata will have an effective share of 33.2%, whereas EBRD will hold 17.8% in the Grand business respectively.

The balance 49% will remain with the founding promoters led by Dr. Alexander E Borisov.

The acquirement, which is likely to be finished by the first half of the existing year (2009), will have to fulfill various conditions, including regulatory approvals.

At 1:35 p.m., shares of the company (Tata Tea) were up 1.84 percent at Rs 553.40 at the Bombay Stock Exchange (BSE).