
Indian multinational conglomerate RPSG Group will launch a green energy venture capital fund in next few months, announced company’s Chairman Sanjiv Goenka on Friday at the India Today Conclave 2023.
The fund being the next venture of the company, Goenka said, RPSG Group has also started another venture capital fund and has started with investment in FMCG companies.
“We have started investments in not start-ups but second phase start-ups. We made some 9 or 10 investments. So far, we have not looked at funds from outside, but we will now go out and accept funds from others because we are confident that we have cracked the ability to make this succeed,” said Goenka.
“And from the time we invested first to now, almost not almost all the companies that we invested in, are trading at about four to 5x the values that we invested,” he said in conversation with Abha Bakaya, senior editor, Business Today.
With a $7 billion asset base and $4 billion revenue, the RP-Sanjiv Goenka Group is one of India's fastest growing conglomerates with a significant global presence. The Group's businesses include power and energy, carbon black manufacturing, retail, IT-enabled services, FMCG, media and entertainment and agriculture.
Giving his views about value creation and advice to the young entrepreneurs, Goenka said that it is fundamentally it is all in the space of easy to use. “For instance, if you look at the mobile phones, they become so much easier to consume and one instrument gives you almost everything. So it's about actually ease of living or ease of consuming,” he said.
Goenka stated that Prime Minister Narendra Modi's government has facilitated ease of doing business and earned respect for India globally.
He spoke about how his company is looking at Ayurveda and its easy consumption and delivery to the customers. “We are looking at how do we can make Ayurveda and deliver it in a form that is easy to consume. First, we don't have enough data of proven successes. And second, that's why the form of consumption of Ayurveda is innovative,” said Goenka adding one to has to relate to the products that how do you make it easy to consume.
Goenka said that his company has launched Chawanyaprash in the form of gummies. “The world is familiar with Chawanyaprash and we have also launched it in the form of toffees. We have gone in for a diabetic range of products. And there's lots of research going on, on different products. So the technology is there, the formulation is there the only thing is that way you deliver it in a manner that it is easy to consume. “And that gives you the confidence that consuming this, is going to either increase your wellness or cure you of certain ailments, or whatever,” he said.
The chairman said that because of the three factors--the credibility, the track record and the ease of consumption, his company has seen quite a remarkable pace of growth. Goenka said his company is is communicating to the people about the advantages of his products, which are legacy products, which are old products, which have been proven for centuries, but data has not been captured, to show their efficacy. The company, Goenka said, is doing awareness campaigns in this regard.
“Changing the mindset is something that I would actively consider. And I think that it is the transition that we have to do. Once we do that, the rest will follow,” he said.
He said that in terms of personal care, there are lots of new products that his company is launching, all of which are completely natural, and paraben free.
“Similarly, in terms of ethnic snacks, we've launched a range which is 40 per cent, lower on fats and calories as compared to anything else that exists. In terms of Ayurveda and music a lot of innovation going on. I don't think we are ready to announce them yet another two, three months. Caravan was the first major innovation that we did and it's been a resounding success. But yes, there is more on the way for sure,” he said.