Reliance Consumer Products Ltd (RCPL) announced that it will acquire a 50 per cent equity stake in Gujarat-headquartered Sosyo Hajoori Beverages Pvt Ltd (SHBPL). The company owns and operates a beverage business under the flagship brand ‘Sosyo’. Existing promoters, Hajoori family, will continue to own the remaining stake in SHBPL.
Reliance’s new beverage company’s 100-year legacy
A 100-year old brand in carbonated soft drinks and juices, Sosyo was established in 1923 by Abbas Abdulrahim Hajoori. The company is operated by Abbas Hajoori and his son Aliasgar Hajoori. Interestingly, the brand was initially called ‘Socio’ and over time as it gained popularity in Surat, the management noticed that the locals had a unique way of pronouncing the drink’s name. They called it ‘Sosyo’ due to their local dialect and diction. The company decided to recognise and honour the prevalent use of nomenclature and took the decision of renaming itself as Sosyo in 1953.
SHBPL brands that comes to Reliance as part of acquisition
SHBPL has several beverage brands in its portfolio including Sosyo, Kashmira, Lemee, Ginlim, Runner, Opener, Hajoori Soda and S’eau. The company has launched over 100 flavours with its expertise in developing formulations and has a customer base in Gujarat. “Combining our relative strengths, we would make the unique tasting beverage products of Sosyo accessible to all the consumers in India. It is a defining moment in our near 100-year journey in beverages,” said Abbas Hajoori, Chairman, Sosyo Hajoori Beverages Private Limited.
Reliance’s newly-acquired company’s distribution networks
SHBPL has 18 manufacturing units across India with distribution spread across the state and also neighbouring states through its franchises and distributor network. It has 16 franchise outlets spread across the country. The company also exports to overseas markets including the USA, UK, Canada,New Zealand, Australia, UAE and others. It aims to become a national brand with its franchising network. The company’s authorized capital stands at Rs 100 lakhs. “With a market share of nearly 29 per cent in Gujarat alone, we sell around 20 lakh crates per annum all over the world. Our group services over 95,000 outlets all over India,” the company maintained.
Reliance’s previous beverage company acquisition
Reliance had, earlier in August 2022, announced the acquisition of home-grown soft drink brand Campa from Delhi-based Pure Drinks Group. Reliance Retail had immediately introduced its three variants, including iconic cola flavour, orange and lemon at its selected stores. According to the sources, the deal was estimated to be around Rs 22 crore. Reliance, as part of its expansion drive in the FMCG segment, is in talks with several brands in the category.