SLMG Beverages eyes Rs 20,000 cr turnover in 5 yrs, IPO in 3-4 years

New Delhi: SLMG Beverages, Coca-Cola's second-largest bottler in India, is targeting a turnover of Rs 20,000 crore within five years and plans to list on the stock exchanges before that timeline, according to its Joint Managing Director Paritosh Ladhani.

The company, which holds Coca-Cola's bottling rights for high-density markets in Uttar Pradesh and Bihar, looks to capitalise on India's consumption growth and also explore opportunities in overseas markets.

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"We should at least go for Rs 20,000 crore in the next five years. We will definitely be listed by then," Ladhani told PTI in an interview.

Besides, the Lucknow-based company, which currently ranks among the world's top 15 Coca-Cola bottlers, aims to break into the top 10 firms globally within five years and become one of the world's top five bottlers over the next decade.

SLMG Beverages currently has a gross turnover of around Rs 9,000 crore and expects to cross Rs 10,000 crore next year. It is targeting turnover of more than Rs 15,000 crore over the medium-term of three years, Ladhani said.

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"We are currently growing at a double-digit rate and will continue the momentum. We grew about 25 per cent in FY26, while our compound annual growth rate (CAGR) has exceeded 20 per cent over the last four years," Ladhani said, adding, "We are very bullish for growth."

On the investment front, SLMG has already invested around Rs 1,200 crore in its facility at Buxar in Bihar, while construction has begun at its proposed Gorakhpur plant in Uttar Pradesh, which will entail an investment of around Rs 1,000 crore.

"We have also acquired land for setting up bottling facilities in Central and Western UP. Construction will start in those plants very soon. Moreover, the second plant in Bihar will also come after 2027," he said.

SLMG Beverages, which had earlier announced investment of Rs 5,000 crore in UP and Bihar, "will be crossing that (committed amount ) in the next three years," Ladhani said.

The expansion is aimed at keeping pace with rising demand in Uttar Pradesh and Bihar, where the company sees considerable headroom for growth, particularly in smaller towns and rural markets.

SLMG currently has bottling capacity of around 35,000 bottles per minute (BPM) and plans to add another 10,000 bottles per minute over the next five years.

"So, I think in the next five years, we will be adding another 10,000 BPM capacity... the way we are growing in the next 10 years, we should reach 1 lakh bottles per minute," said Ladhani.

Besides manufacturing, the company is investing in distribution and cooling infrastructure to improve product availability and expand consumption in underpenetrated markets.

It invested more than Rs 60-70 crore in chilling equipment last year and expects the overall investment in such equipment to exceed Rs 100 crore when its retailer financing initiative is included.

SLMG Beverages, which is among the top 15 Coca-Cola bottlers globally, holds bottling rights for Coca-Cola in Uttar Pradesh and Bihar, along with Uttarakhand, and parts of Madhya Pradesh.