Reliance Industries to consolidate FMCG brands under new subsidiary ahead of IPO

New Delhi: Reliance Industries (RIL) will spin off its brands into a new subsidiary, New Reliance Consumer Products (New RCPL), as it gears up for a potential initial public offering (IPO), according to news reports.

The restructuring will consolidate RIL’s FMCG portfolio, previously spread across Reliance Retail Ventures (RRVL), Reliance Retail (RRL), and Reliance Consumer Products (RCPL), into New RCPL, a direct subsidiary of RIL, mirroring the structure of Jio Platforms. 

Brands such as Campa (soft drinks), Independence (packaged groceries), Ravalgaon (confectionery), SIL (jams and sauces), Sosyo (regional beverages), and Velvette (shampoos) will now operate under this new entity. 

Reliance’s FMCG arm has grown aggressively since its launch in November 2022, achieving Rs 11,450 crore in revenue by FY25. 

RCPL’s strategy hinges on offering products at 20–40% lower prices than competitors like Coca-Cola, Mondelez, and Hindustan Unilever, while providing higher trade margins to distributors, fostering rapid market penetration. 

The portfolio includes over 15 homegrown and acquired brands, with Campa and Independence each projected to surpass Rs 1,000 crore in sales by the end of FY25.

The company has also invested heavily in distribution, reaching over 1 million retail outlets, with plans to expand to 10 million by 2027, targeting India’s 600 million value-conscious consumers. 

Recent moves include a Rs 6,000–8,000 crore capital expenditure plan to establish 10–12 new greenfield and co-packing plants, alongside acquisitions like Raskik (juices and functional beverages) and partnerships with brands like Sri Lanka’s Maliban Biscuit.