India Glycols Splits & Shakes Up Spirits Sector with Amrut Partnership

India Glycols Ltd is planning to spin off its spirits business and list it separately, following a partnership with Amrut Distilleries. This move aims to capture a greater share of the premium whisky market as the company plans to distribute select Amrut brands in northern India.

India Glycols Ltd, following its newfound partnership with Bengaluru-based Amrut Distilleries, is considering a strategic move to demerge its spirits business and subsequently list it on the stock exchanges, company officials revealed. This demerger is expected to allow the company to focus more on its thriving spirits segment, which comprises around 25% of the company's revenue.

The company is eyeing expansion into the premium whisky market, known for its rapid growth within the alcoholic beverages sector. By aligning with Amrut Distilleries, India Glycols aims to distribute and sell select premium brands across north India. This strategic maneuver is intended to position the company more favorably within this segment and grab a significant share of the market, according to Raju Vaziraney, the Advising President for IMFL at India Glycols.

This partnership is not just about market positioning; it reflects broader trends, including rising disposable incomes and changing consumer preferences towards premium products. Additionally, the company plans to address challenges in its regular segment, such as state-imposed price controls, by expanding its footprint into premium offerings.

(With inputs from agencies.)