Companies

Modern Foods eyes 4-fold growth in revenues

V Rishi Kumar Hyderabad | Updated on January 11, 2018 Published on May 02, 2017

modern

To focus on new products, unchartered segments

With Everstone Capital Asia in the driver's seat, Modern Food Entreprises has embarked on a major expansion drive which will see the company increasing its revenue four-fold from Rs 270 crore now to over Rs 1,000 crore by 2021-2022.

The Gurgaon-based company, which has a strong presence in South India, is eyeing rollout of new products while presenting itself as an iconic brand with decades-long presence.

Assem Soni, Chief Executive Officer of Modern Food, said, “The renovated brand approach, enhanced portfolio of products, Chennai-based R&D centre and innovation hub, will play a grater role in its journey to be a Rs 1,000-crore plus company over the next few years.”

Predicting a growth of over 25 per cent this year, in the country's market estimated to be over Rs 6,000 crore, the CEO said new products, which look beyond traditional bread and its variants, have been created to meet the evolving consumer tastes and lifetsyles and demand for smart food options.

“While we are very strong in South India, the company plans to strengthen its presence in States and cities where it is present. These include Telangana, Tamil Nadu, Kerala and Karnataka.

The new focus of the company will be on health as well as taste where Modern Food plans to offer,” he explained.

According to Roshini Bakshi, Managing Director of Everstone Capital Asia, Singapore, “We are looking to grow Modern Foods, organically and inorganically, in bread and bakery and the wider packaged foods category to realise the full potential of the business.”

The company is looking at expanding the number of retail outlets in the country from 80,000 to one lakh during the current fiscal.

Apart from new products such as Milk Plus bread enriched with calcium, hi-fibre brown bread reinforced with premium wheat fibres, and 100 per cent whole wheat bread, the company is looking at introducing cakes and muffins.

Everstone

The Everstone Group, focussed on India and South East Asia, has assets of over $ 3.3 bllion under management. In India, the company has invested in over 30 companies in the food, healthcare and wellness products. Some of the companies where it has invested include Masala Library and Copper Chimney.

Some of the other investments made by the company include franchisee operation of Burger King. “We will continue to look for right investments, enter new markets and categories,” a company spokesperson said.

Published on May 02, 2017
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