Campa Cola is set to return to the Indian Market, as Reliance closes the deal. Reliance Retail Ventures, retail branch of Reliance Industries (RIL) acquired Campa Cola brand from Delhi based Pure Drinks Group in order to scale its Fast-Moving Consumer(FMCG) business.
According to the reports, the deal closed off at 22 crores.
Reliance will launch the newly acquired up the FMCG business, Reliance Retail Ventures acquired a currently off the shelves cola brand, Campa Cola. The company will relaunch the drink in it’s classical Cola flavour along with lemon and orange flavors later this year. The move comes into action, as the company decides to tap into the Indian Soft drink market, which is currently dominated by foreign brands such as Coca-Cola and PepsiCo.
On Monday, while addressing the shareholders, Isha Ambani, director of Reliance Retail Venture Ltd, expressed the company’s vision to enter the FMCG market.
“I’m excited to announce that this year we will launch our fast-moving consumer goods business. The objective of this business is to develop and deliver products that solve every Indian’s daily needs, with high quality products at affordable pricing,” Ambani said.
According to the reports, The deal closed at 22 Crores for Reliance and Pure Drinks Group. Campa was a leader in the Indian Softdrinks market along with Coca.
Genesis
Cola, Limca, Thums Up during the 1990s went off the shelves after fierce competition from the Coca Cola acquired Parle brands. The Soft Drinks are set to return via Reliance’s own chain group of retailers. It would also be available in local kirana stores.
Campa Cola was created by the Pure Drinks group in 1970s. It virtually dominated the market in 1980s with much less competition, as the Foreign Corporations like Coca Cola were asked to halt the operations in India.
After the return of Foreign Corporation in the Indian Softdrink Market the popularity of Campa Cola steadily declined. The brand tried to relaunch itself into the market a few times, but couldn’t get much attention by the Indian customers.
Indian Softdrinks market is already estimated at Rs 671 billion, which is projected to reach Rs 147233 crores by 2030.
While India has a potential of becoming a soft drinks hub Reliance Industries is aiding her in doing so. The company is trying to contribute to the development of the Soft Drinks Industry in India.
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