Mukesh Ambani takes BIG step as RIL set to combine 15 brands to make new company

Mukesh Ambani's Reliance Industries Ltd (RIL) is all set to combine its fast-moving consumer goods (FMCG) businesses into a single new business. Currently, RIL's FMCG portfolio includes well-known brands like Independence and Campa, is spread across its retail ventures, Reliance Retail Ventures Ltd (RRVL), Reliance Retail Ltd (RRL), and Reliance Consumer Products Ltd (RCPL).  Streamlining operations and setting up the business for faster growth in the FMCG industry are the goals of this strategic initiative.

Reliance Industries can create a new business called New Reliance Consumer Products Limited by combining the brands of its three retail locations.  New Reliance Consumer Products will operate directly under the RIL, just like previous businesses.

Recent company data indicates that Reliance Retail Ventures is worth more than Rs 8.5 lakh crore.  One of the biggest initial public offerings (IPOs) in Indian stock market history may occur.

The group's manufacturing, distribution, and marketing operations are managed by Reliance Consumer Products.  Compared to major brands like Coca-Cola, Mondelez, and Hindustan Unilever, it offers its products at 20–40% less.  Additionally, it gives retailers larger margins.

The group's manufacturing, distribution, and marketing operations are managed by RIL's Reliance Consumer Products, which sells its goods for 20–40% less than well-known brands like Coca-Cola and Hindustan Unilever, among others.

Notably, on June 25, the demerger plan was accepted by the National Company Law Tribunal.  According to NCTL, building a consumer brand takes a significant amount of money, but this requirement can be readily satisfied if the company is kept apart from the retail location.

In order to disclose its true worth, Reliance is not the only Indian corporation that plans to float its operations as distinct entities.  The same has already been done by big businesses like Tata Motors, Aditya Birla Fashion and Retail, and Quess Corp.

 The MD of Equinomics, G Chokkalingammal, believes that RIL's action is a great one and that the company would succeed in creating an FMCG empire.

Reliance Group, owned by Mukesh Ambani, has achieved the same remarkable success in the FMCG industry as it has in the telecom sector with Jio.  Reliance's consumer business is expanding quickly.

The rapidly expanding FMCG division of Reliance Industries has generated yearly sales of more than Rs 11,000 crore.  This quick expansion indicates that the business is effectively combining its consumer brands.