Tilaknagar Industries acquires four companies to control raw material costs

BANGALORE: Liquor marketer Tilaknagar Industries has acquired four companies as it prepares to expand its presence in the Indian spriits market.

It acquired construction and infrastructure development companies Mykingdom Ventures and Studd Projects as well as PP Caps which manufactures caps and containers and Srirampur Grains in March. Tilaknagar Industries’ chairman and managing director Amit Dahanukar said the acquisitions totalled to under Rs 3 crore.

The company intends to cut back on raw material costs and to increase self-reliance in areas such as infrastructure development, it said.

“There is a lot of competition. The acquisitions were made to retain our margins and for value engineering at both the front and back end,” Dahanukar says. “Our core competency is manufacturing brands and distrubution but now we will also look at close partnerships for greater supply-side security,” he added.

In April, Tilaknagar Industries launched single malt Scotch called Seven Islands Vintage in London, in association with BenRiach Distillery, Scotland, it had said. The brand is expected to be later launched in Mumbai, Milan and Paris too. “We wanted to introduce something unique as an India company going international,” Dahanukar says.

Tilaknagar Industries’ Mansion House brandy is the second-largest selling brandy in the world.