Reliance Retail to transfer FMCG brands to RCPL to boost market share
Reliance Retail is planning to transfer its multiple FMCG brands including Campa and Independence to Reliance Consumer Products Ltd (RCPL) to expand and scale up its FMCG business.
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To scale up the business of the recently set up FMCG entity Reliance Consumer Products Ltd (RCPL), Reliance Retail is reportedly planning to transfer most of its fast-moving consumer goods (FMCG) brands to the former.
The brands under Reliance Retail include Campa, Sosyo, Snactac, Puric, Glimmer, Enzo, Get R, and Independence brand which has a presence in the packaged food, edible oil, and staples segment.
To scale up the business further, RCPL has also decided to set up up to five bottling plants for Campa, according to an ET report.
The report also claimed that some smaller private brands sold by Reliance Retail will continue under it since those will not be distributed to general trade.
On July 24, the board of RCPL unanimously approved special resolutions to raise capital for business operations during a general meeting.
Last month, Mukesh Ambani-owned Reliance Industries announced investing up to Rs 3,900 crore into its FMCG division to strengthen its position against major players such as Hindustan Unilever, ITC, Coca-Cola, and Adani Wilmar.
Reliance Retail Ventures, a wholly-owned subsidiary of Reliance Industries, is the holding company for all the conglomerate retail businesses, including RCPL.
During an annual general meeting held last month, Isha Ambani, Director of Reliance Retail Ventures shared that in the FMCG business, the company’s focus is on creating high-quality products at affordable prices to drive greater consumption across India. She added that the company had relaunched several popular brands including Campa Cola, Lotus Chocolates and Sosyo with early success.
