Date:08/07/2005 URL: http://www.thehindubusinessline.com/2005/07/08/stories/2005070800460400.htm

Back Venkys India MD plans lifestyle products foray

Sudha Menon

The group has signed a pact with South Australian wine maker Boar's Rock.

Pune , July 7

THE Venkateshwara Hatcheries group, leaders in the poultry business, has firmed up plans to diversify into the rapidly growing lifestyle and lifestyle products business.

Bala Entertainment International Pvt Ltd, a stand-alone group company headed by Mr Balaji Rao, who is also Managing Director of Venkys India, will lead the group's diversification into manufacturing and retailing wine, health drinks, films and designer clothes.

The company's foray into the lifestyle segment is marked with a joint venture with South Australian wine maker Boar's Rock. In collaboration with the company, it plans to market a range of wines from the McLaren Vale region of Australia.

The initial plans for Venky's Rock, the wine division of Bala Entertainment, is to import and market the wine across the country. The company has already acquired 17 acres of land near Pune for a 5 million bottles per annum bottling plant for the wine business. "The wine market is growing at thirty per cent every year and in addition to targeting at least 10-15 per cent of this market, we have plans to export the wines to the Middle Eastern and South East Asian countries," the CEO of the company, Mr O.P. Singh, told Business Line.

Venky's Rock will also foray into the non-carbonated health beverage business where it has lined up a number of health drinks including anti-oxidant, herbal and vitaminised and energising beverages, Mr Singh said adding that the facilities for the wine bottling will also eventually be used to house the health drink facilities.

The company is investing an estimated $2.5 million in the wine business and has roped in film star Sanjay Dutt as the brand ambassador to endorse the products.

Bala Enternatainment, meanwhile, has also kicked off its foray into the entertainment business by part financing the production of Bollywood blockbuster Dus. "We have lined up a number of overseas crossover and multi-lingual films for the next couple of year and are also in the process of working out certain event management opportunities," Mr Singh said.

The company is also foraying into the business for high-end, lifestyle clothing.