Reliance Will Relaunch Iconic Softdrink Brand: Campa Cola! Pays Rs 22 Crore To Acquire Campa Cola Brand
As per the sources, post the announcement of entry into FMCG space, Reliance Industries has acquired the home-grown soft drink brand Campa from Delhi-based Pure Drinks Group.
Campa Bought Out by Reliance for 22 Crores
The sources close to the development said that the deal is estimated to be around Rs 22 crore and Reliance Retail Ventures would introduce it to the general trade and local markets around Diwali.
At selected stores, three variants including its iconic cola flavour have already been introduced by Reliance Retail Ventures, which happens to be the retail arm of the Reliance group.
At present, Campa is bottled by Jallan Food products.
As of today, the Indian soft drink market is dominated by Coca-Cola India and PepsiCo, which are both American cola majors.
The acquisition of Campa comes after the Reliance group making its mind to foray into the FMCG sector.
Reliance Retail Ventures Ltd (RRVL) director Isha Ambani, while addressing the shareholders in the annual general meeting, said that the company shall soon launch its FMCG goods business.
Reliance is already in talks with several makers, as a part of its expansion drive. It shall announce the same, after the deals are finalized.
The Indian FMCG sector which is dominated by big firms such as HUL, Reckitt, P&G, Nestle and home-grown companies like Dabur, Emami and Marico is estimated to be over USD 100 billion.
In this segment, Reliance will now compete with the leading company Adani Wilmar and other FMCG companies.
A Brief History of Pure Drinks Group
Created by the Pure Drinks Group in the 1970s, they introduced Coca-Cola into India in 1949. Till 1977 they were the sole manufacturer and distributor of Coca-Cola. After that, Coke was asked to leave.
In the absence of foreign competition, the brand dominated the Indian market for the next 15 years.
In order to appeal to the nationalism, the brand slogan was kept “The Great Indian Taste”.
The foreign corporations return in the soft drink market after 1990s. It was then that the popularity took a hit and unable to sustain the competition, its operations were scaled down.
As of today, it sells in handful of markets in limited numbers.
Let’s see what Reliance does with this brand!
As per reports from market research firm Research And Markets, the Indian carbonated beverages market segment which is currently valued at Rs 13,460 crore in FY 2020, is expected to reach a value of Rs 34,964 crore by FY27.