The stock of Tata Coffee soared over 20% in the Indian markets yesterday on very high volume.
I thought this might be of interest to the American readers. Well, earlier this year, "In a separate sourcing and roasting agreement between Starbucks Coffee Company and Tata Coffee Ltd, the later will roast coffee to supply to Tata Starbucks, and to export to Starbucks Coffee Company for its overseas operations. Tata Global Beverages Ltd and Starbucks Coffee Company have set up a 50:50 joint venture (JV) called Tata Starbucks Ltd to harness the vast potential of the growing hot beverages market in India. The JV company would own and operate Starbucks cafes across India. These cafes will be branded as Starbucks Coffee 'A Tata Alliance'. The first store under this alliance opened in Mumbai in October and has, for obvious reasons, generated a lot of interest.
Yesterday's breakout in Tata Coffee was apparently due to its association with Starbucks and Starbucks acquiring Teavana.
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