🍭 Reliance Selling Candies Now?

Can't make sense of Reliance's acquisitions? Read on to connect the dots!

Is Reliance building a candy brand now? 
Nuh-uh.
It is walking on the shorter path of acquisition!
It is acquiring an 82-yr-old brand, Ravalgaon Sugar Farms, for Rs. 27 Crore. 
Never heard of it? 
Well, it owns some of our favourite childhood brands:
Mango Mood, Coffee Break, Pan Pasand, Tutty Fruity, Supreme Toffee and Choco Cream.

Now, why is Ravalgaon selling? 
Well, it has been facing intense competition. 
Plus, costs of raw materials, machinery and production costs have been rising. 
And well, the industry is also facing challenges. 
You see, candies are impulse purchase products. 
When Covid hit in 2020, physical movement came to a standstill and candies found no buyers. 
Post Covid, the industry hasn't really been able to catch up. 
Plus, with UPI now ruling payments, candies can no longer be sold as an alternative for ‘spare change’.
Wondering what Reliance saw in this struggling brand?
This acquisition will expand Reliance’s FMCG portfolio, which includes brands like Campa, Toffeeman and Raskik.
Plus, if you have been keeping tabs on Reliance's expansion moves, you'll see a pattern. 
Reliance has been picking up struggling brands and bringing them back from the dead. 
Back in 2022, it acquired Campa Cola for Rs. 22 Crore. 
It relaunched Campa across the country through its vast distribution network, and is now set to take Campa global! 
Reliance’s answer to ‘buy vs build’ is clear. 
It is buying brands, leveraging their set processes and expertise, and simply pumping money for widespread distribution across the country! 
Will it now disrupt the candies market too? 
And which other brand or sector do you think Reliance will enter next? 
Let us know in the comments!