The board of Britannia Industries has approved the issuance of secured redeemable non-convertible debentures as bonus debentures of Rs 60 in the ratio of one such debenture for every equity share on their 100th year.
Speaking at the company’s annual general meeting on Monday, Britannia Chairman Nusli Wadia said the company would incur Rs 7.2 billion for the issuance of bonus debentures and the total payout to shareholders, including bonus, would be more than Rs 10 billion. These debentures will be issued out of the Rs 25.15-billion balance in retained earnings, which was available as on March 31, 2018. The company is in the process of launching croissants and has partnered with Greece based Chipita for this endeavour. Wadia said, “the intention will be to launch products which also target the same snacking occasions that we target today but with new and innovative products.”
Berry claimed Britannia had overtaken Parle G to be the market leader in biscuits with a 33 percent share in terms of value. However, in terms of volume of brands, Parle G still dominates the market and it will take two-three years for Britannia to pull ahead of Parle G brand with its Good Day products.
The company is eyeing expansion across West Asian and North African markets. Wadia launched the new logo to mark the centenary year and said the company was carrying forward its brand heritage by giving the logo a modern look.
- Britannia is considering shifting its proposed dairy plant to Andhra Pradesh as incentives from Maharashtra are still left undecided
- This plant and up-scaling of the fairy business will also entail an investment into setting up of cold chains
- A total of Rs 3 billion will be invested to set up the plant and the cold chain network
Source: Business Standard