Tilaknagar Ind looks to build brand again
₹176.22 crore as of 30 June, has been settled. “The prepayment has been funded by a debt of ₹130 crore from Kotak Mahindra Bank as well as the internal accruals of the company," it said. Debt refinancing has facilitated the company’s entry into conventional banking, and granting immediate flexibility in managing cash flows, paving the way for more investments in brand building, the company said.
Consequently, the company will be investing in core brands including Mansion House, the flavoured brandy, besides Blue Lagoon, said Amit Dahanukar, the chairman and managing director of Tilaknagar Industries. “As we move forward and cash flows become robust, and balance sheet is stronger, our ability to in behind our brands and categories will increase." “Even in FY25, we will be seeing a similar rise in investments. The money we save on finance costs, we will put behind our brands," said Dahanukar.
Liquor companies typically promote brands via surrogate ads, besides in-stores campaigns in bars and cafes. For instance, Tilaknagar recently rolled out a campaign for Mansion House packaged drinking water. Earlier this year, it picked up a 10% stake in graft gin maker Spaceman Spirits Lab Pvt Ltd (SSLPL), which sells the premium Samsara craft gin brand.
While, the company is looking to focus on its core brandy business, it seeks to tap emerging trends in the industry, said Dahanukar. “We have investments made in craft gin Samsara, which is an emerging category. We have also invested in a ready-to-drink alco-bev product that will be rolled out in mid-August.
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