Financial Daily from THE HINDU group of publications
Saturday, Mar 13, 2004
Financial Daily from THE HINDU group of publications Saturday, Mar 13, 2004 |
||
|
|
||
|
Marketing
-
Brands UB in talks to sell IMFL rights of Marco Polo to Katra Liquor Boby Kurian
Bangalore , March 12 The UB group is in advanced talks to sell the Indian Made Foreign Liquor (IMFL) rights of Marco Polo brand to Katra Liquor, a start-up venture funded by Mr Ramesh Vangal. The development could mean UB splitting the use of the brand with Katra, as Marco Polo is a sizable volume driver for its beer joint venture with Scottish & Newcastle (S&N), Millennium Alcobev Ltd, in Tamil Nadu. Top UB officials confirmed that Millennium Alcobev (MABL) was in "serious discussions" to give the IMFL rights of Marco Polo to Mr Vangal's new company. "We are yet to sign the deal," sources added. There was no information available on the value of the impending transaction, which would help Katra in the southern spirits market where Marco Polo enjoys significant brand recall. MABL acquired Marco Polo brand when it took over the brewing arm of the Chennai-based Empee Distilleries in a deal estimated at Rs 112 crore in 2002. Marco Polo was Empee's flagship brand in both IMFL and beer business. Its equity in the IMFL segment is spread over whisky, rum and gin flavours accounting for monthly sales of 60,000 cases in Tamil Nadu alone. The brand will also provide Katra with access to Tamil Nadu market - the second largest in the country - as Marco Polo is registered with Tamil Nadu State Marketing Corporation, which controls wholesale and retail liquor trade. Tamil Nadu remains a closed market for many IMFL companies as it has been selective in brand registration and insists on local bottling. Katra, which is expected to announce a foreign equity partner soon, is in the midst of firming up operational plans through acquisition, distribution arrangements and development of original brands. The company, which is headed by Mr Kaushik Chatterjee, a former Seagram official, is expected to script significant corporate developments in the next two months.
More Stories on : Brands | Breweries | Strategy
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2004, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|