Hassad Food, a Qatar-based conglomerate, has said on Wednesday that it has acquired a majority equity stake in Indian firm Bush Foods Overseas, which sells basmati rice.

It will be the first investment by the Qatari group, which is a leading investor in the agriculture and livestock sectors in the Middle Eastern country, in India. On the other hand, Bush Foods Overseas focuses on premium basmati rice and has brands including Neesa, Himalayan Crown and Indian Star. The company is also present in ready to eat segment and other ethnic range of international brands that are sold in 70 countries around the world.

Bush Foods managing director and CEO Virkaran Awasty said that Hassad Food has acquired more than 51 per cent stake in our company. He said that deal for the stake in valued at an estimated $100 million. Awasty did not announce the exact stake sold to the company and the exact amount of the deal.

"We are very excited about this acquisition... I am confident that the acquisition of Bush Food Overseas and its international brands is in line with what we are trying to achieve and will deliver what is expected from it," Nasser AlHajri, chairman of Hassad Food said.

Bush Food Overseas woilluse the funds raised by the stake sale to boost its growth by expanding its processing capacity by 25 per cent to 50 per cent and brand promotion.