Reliance Consumer Products may be spun off into separate entity

Reliance Consumer Products, the fast-moving consumer goods division of Reliance Retail
| Photo Credit:
ASHOKE CHAKRABARTY

Reliance Consumer Products, the fast-moving consumer goods division of Reliance Retail, has grown to a significant size in a short period of time and within the group there are plans to spin it off into a separate entity, sources said.

Launched in 2022, the FMCG business has scaled up in an extremely short period of time and during the quarterly and annual results released last month, the company revealed that Reliance Consumer had notched up revenues of ₹11,500 crore in FY25, surpassing several other well-established companies operating in the sector. More than 60 per cent of the revenues came in from general trade, led by in-house brands.

Unlocking the value

Considering the rapid scale-up and the fact that the growth has been fuelled by the demand for its own brands, there is a plan to make it into a separate entity in order to unlock value. Sources said that details are still being worked out and it is in the context of the larger plans for Reliance Retail Ventures, under which all its retail operations are housed. Reliance Consumer is a wholly-owned subsidiary of Reliance Retail.

RIL did not respond to an email sent seeking clarity on the proposed plans.

One of the main brands within Reliance Consumer is the carbonated beverage Campa, which now has double-digit market share in some of the key markets where it is sold. Campa has already notched up revenue of over ₹1,000 crore, much ahead of target, according to the company.

Staples brand Independence has also gained traction and is now being sold across over a million retail outlets and 3,000-strong distribution network.

Analysts have pegged consumer brands as one of the growth catalysts for the retail vertical.

Reliance Consumer has grown both organically and through strategic acquisitions and the strategy followed has been to acquire brands that have fallen into hard times but with good recall. Campa and shampoo brand Velvette are cases in point. In its earnings call, the company had said it was looking to tap international markets such as Middle East as well for its brands.

Published on May 4, 2025