RJ Corp to raise Rs 750 cr via Devyani Intl IPO

Delhi-based RJ Corp today said its food subsidiary, Devyani International, plans to raise up to Rs 750 crore through a public issue by early next year.

"We are targeting the end of this year (2011) or early 2012 for the listing of Devyani International. We plan to raise between Rs 500 crore to Rs 750 crore through the public issue," RJ Corp Chairman Ravi Jaipuria told PTI.

Devyani International is one of the group firms of RJ Corp. It is the India franchisee for global food and beverage brands like KFC, Pizza Hut and Costa Coffee in India.

RJ Corp, which has interests in beverages, fast foods, dairy products, retail, real estate, housing, education and healthcare, could go for listing more companies after Devyani International.

"It is to begin with (Devyani International). Later, we may look at others too," Jaipuria said.

The group also has plans to open 150 more outlets of its various food chains in the country in 2011. It also plans to launch a chain of South Indian fast food restaurants in February this year, he said without disclosing investment details.

The company, which has business interests both in India and overseas, expects its business in Africa to touch $1 billion in the next three years.

"We expect revenues to touch $1 billion from our African business in the next three years. It will be on the back of soft drinks, dairy and food business," he said.

RJ Corp already has dairy businesses in Uganda and Kenya for products such as milk, yogurt, cheese and butter.

It expects to register revenues of $400 million from Africa in the current fiscal. The conglomerate has projected its total turnover during the 2011-11 financial year at $1.2 billion.

The Delhi-based firm, which is PepsiCo's leading bottler in India, also plans to increase the number of units it has in Africa.

"We plan to add one (Pepsi bottling unit) each year in the next three years in Africa," Jaipuria said.