Capital Foods is a private label manufacturer globally in the processed foods business and accounts for brands like the Smith & Jones and instant Chinese soups, spices and curry mixes under the Chings Secret brand.
Future Groups founder Biyani also said on Monday that the FMCG company Future Consumer Enterprises has entered into a long-term agreement to bring in California-based Sunkist brand into India. Future Consumer Enterprises will pay a royalty fee to Sunkist for manufacturing and selling the products.
Initially, the company will launch fruit juice and sparkling beverages in the country in the next six months. Biyani expects the Sunkist brand to rake in revenues of R100 crore in the next two years. The companys food park in Tumkur, Karnataka, will be involved in managing the sourcing, manufacturing, packaging and distribution of the products.
Biyani has big plans for Future Consumer Enterprises which was formerly known as Future Ventures. He expects the company to be a R10,000-crore company by FY19, from R2,000-crore in FY15. The company has zero debt on its books and has cash in hand of around R280 crore that will be invested for expansion of its FMCG business, according to a company statement.
Meanwhile, Future Group has also exited some other fashion brands like ethnic-wear firm Biba, designer Anita Dongre-owned AND and French apparel company Celio. The company sold its 28.3% stake in Biba and 22.9 % stake in AND for R450 crore. Future Group had a 50% stake in French apparel company Celio, which was bought back by Celio this month.
Future Group has been restructuringitself for the past two years to cut debt and align its businesses. The company sold its majority stake in Pantaloons format to Aditya Birla Nuvo, apart from divesting its non-core businesses like insurance. Last year, it also de-merged its fashion businesses into a separate company, thereby creating verticals for facilitating FDI in multi-brand retail.