Pincon Spirit to invest Rs. 400 cr on expansion over next 2 years.

Kolkata-based liquor manufacturer Pincon Spirit (PSL) will look at an investment of nearly Rs. 400 crore towards expansion over the next 18 to 24 months.

While Rs. 120-odd crore will be from internal resources, the remaining Rs. 280 crore will consist of a mixture of bank loan and market borrowing.

Market borrowing will primarily include issue of non-convertible debentures (NCDs) to the tune of Rs. 40 crore. The NCD issue might happen by this fiscal.

'We are looking to expand our operations and come up as a pan-India player. Investment plans have been lined up in this respect,' Kuntal Chatterjee, Chief Operating Officer, Pincon, said on the sidelines of the launch of its Jamaican rum and orange-flavoured gin.

Investment will mostly include setting up of a packaging facility at its Rajarhat unit on the north-eastern fringes of the city.

This apart, investments will be required for setting up of two new facilities – a greenfield project in Kharagpur (some 130 km from the city) and towards the acquisition of a new unit at Burdwan (110 km from here). Both these units will be for country spirits.

Pincon at present has two units in Bengal – one at Rajarhat, and an acquired facility near Madhyamgram (North 24 Parganas).

Apart from Indian-made foreign liquor (IMFL) that includes whiskey, rum, gin, vodka and beer, PSL is also into country spirits.

Nearly 60 per cent of the BSE-listed company’s revenues are from sales of IMFL, country spirit and edible oils (its FMCG segment). The remaining 40 per cent of its revenue is from traded (liquor) brands.


HBL