Shivam Kataria

Tilaknagar Industries Ltd., best known for its leading Mansion House brandy, has signed a definitive agreement to acquire the Imperial Blue whisky business from Pernod Ricard India for an enterprise value of ₹4,150 crore ($500 million), marking one of India's largest ever liquor-sector deals. The all-cash transaction, expected to close within the next six months, includes a deferred payment of ₹282 crore payable four years following completion. It marks Tilaknagar’s strategic entry into India’s high-volume whisky market, which constitutes nearly two-thirds of the Indian Made Foreign Liquor (IMFL) sector. Pernod Ricard, the world’s second-largest spirits maker, said the sale lets it sharpen its focus on premium brands like Chivas Regal, Glenlivet, and Jameson and is expected to meaningfully improve its operating margins and net sales growth. The popular Imperial Blue, launched in 1997 and currently India’s third-best-selling IMFL whisky, sold 22.8 million nine-litre cases in 2023. Tilaknagar—returning to profitability after debt restructuring—has been raising up to $500 million through debt and equity to finance the acquisition. Its board approved the fund-raising plan earlier this month . Chairman & MD Amit Dahanukar said the acquisition supports Tilaknagar’s “vision 2030” strategy of expanding its non-brandy footprint—from 6% to around 20% over the medium term. By adding Imperial Blue to its portfolio, it becomes a significant player across both brandy and whisky categories. Tilaknagar’s shares have rallied nearly 30% over the past month as investors welcomed the bold move. Analyst reports suggest this deal could give the company a national IMFL footprint and introduce economies of scale in distribution and marketing.

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In a country where 90% of beverage sales still come from general trade, Lahori Zeera didn’t build its brand on advertising. It built it on access. When most beverage players were chasing margin led SKUs and “premiumization,” Lahori went back to the basics of Indian retail, the ₹10 price point. That single decision unlocked something most brands underestimate: instant trial. At ₹10, the product sits in the same decision frame as a packet of chips or a small biscuit. No hesitation or evaluation, just an impulse purchase. And in India, that’s scale. The brilliance lies in how Lahori turned that pricing into its growth engine: ₹10 isn’t a discount, it’s a penetration strategy. The low barrier to trial fueled repeat purchase through familiarity and habit, not advertising. And once volumes kicked in, economies of scale did what marketing budgets couldn’t. From ₹83 Cr in FY20 to ₹530 Cr in FY25 is not just demand; that’s design. A design that understood India’s consumption psyche better than many MNCs operating here for decades. What makes this story even sharper is the contrast: While legacy FMCG players chased high-margin subcategories and D2C brands built for urban aspirants, Lahori doubled down on Bharat’s middle belt where affordability equals accessibility. We’ve seen this pattern before. 👉 ParleG built generational loyalty at ₹5. 👉 Frooti’s ₹10 tetra pack made mango drinks part of every child’s summer. Lahori is simply the newest name on that list but it’s playing the same timeless Indian game: price first, brand later. Because in a price sensitive yet high volume market, the right entry price isn’t just about affordability, it’s about building the funnel for trust. As someone who’s spent years decoding retail behavior, I believe Lahori’s biggest innovation wasn’t product or packaging. It was restraint. The discipline to stay mass when the market glorifies premium. That’s how you build adoption before aspiration. And that’s exactly what creates long term category leadership. #retail #pricestrategy #consumerproducts

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India must build global brands Why hasn't it done it so far? I wrote this article for Outlook Business Business for their Independence day issue. The issue got delayed / whatever and the article appeared this week. In this article I use Kantar data to show that for a $4 Trillion economy,we need more brands. What is the shift we need? 1.We have been a large, protected, license led domestic market for most of the 78 years. 2. Indian owners need Brand ambition as much as business ambition. A brand ambition must go beyond a family name and legacy. 3. A lot of our past innovation has been import substitution led and not value improvement led. 4. We valued information over insight. Brands are built on insights. 5. We have had more of trading genes than creator genes. 6. Indian Premier League India and Indian School of Business are definitely two global brands we have created in the last 20 years and full credit to the two institutions. 7. India must pivot to design and sensory thinking if it wants to create global brands. 8. We were not that integrated into the global market, today we are at the core. India has soft power, which will be enhanced by building more Indian brands in the future. shiv www.shivshivakumar.com

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Rs 17,762 Crore Deal That Could Redefine Indian Sports Business Forever🚨 Royal Challengers Bengaluru (RCB) could soon become the subject of India’s largest-ever sports franchise transaction. UNITED SPIRITS LIMITED, owned by Diageo, is reportedly looking to sell the IPL team for a staggering Rs 17,762 crore. Leading the race is Adar Poonawalla, CEO of Serum Institute of India Pvt. Ltd., making this one of the most consequential deals in Indian cricket history. ✅ The Valuation Story When RCB was first bought in 2008, the price tag was Rs 475 crore. Today, the ask is 38 times higher at Rs 17,762 crore. The economics also explain the steep number. RCB earns Rs 450–500 crore annually from central IPL revenues, adds another Rs 150–200 crore from sponsorships & merchandise, and up to Rs 80 crore from ticketing & hospitality. That puts its annual revenue in the Rs 650–780 crore range. When benchmarked globally, NFL teams trade at 8–12x revenues, NBA at 10–15x & Premier League clubs at 5–8x. At about 22-27x revenues, RCB’s valuation still appears conservative compared to international peers. ✅ Why Diageo May Exit 1. Diageo’s exit strategy reflects both financial opportunity and strategic realignment. Its core alcoholic beverage business is navigating increasing regulatory scrutiny in India, and sports franchise ownership falls outside its operating focus. 2. The timing couldn’t be more favourable. The IPL’s total value has reached Rs 1.34 lakh crore, and RCB’s brand has never been stronger. 3. For Diageo, it is a chance to unlock 18x on its original investment and redirect capital into its core markets before potential advertising restrictions on alcohol brands further complicate cricket sponsorships. ✅ The Poonawalla Factor Adar Poonawalla’s candidacy brings credibility & capacity. The strategic fit also makes sense. Linking healthcare’s fitness narrative with cricket, leveraging IPL’s hospitality opportunities for his global network & embedding his brand into India’s most followed sport would create long-term visibility. ✅ What This Means for the IPL 1. The deal could reset franchise valuations. Mumbai Indians & Chennai Super Kings may soon test valuations, while Kolkata Knight Riders and Delhi Capitals could push too. 2. It would also amplify global investor interest in Indian sports. Proof of an exit creates confidence in long-term returns, attracting private equity, sovereign funds & global sports owners into India’s fast-maturing sports ecosystem. 3. Beyond cricket, the ripple effect will likely touch football, kabaddi, and emerging leagues. RCB’s potential sale is about India’s sports business graduating to a global scale. It signals that professionally run Indian franchises can deliver sustainable economics, institutional-grade governance & premium valuations. If the deal closes at or above Rs 17,762 crore, it will mark the single largest validation of Indian sports as an asset class. #cricket #india #finance #sports #business

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