RattanIndia Enterprises invests Rs 350 cr in wholly-owned subsidiary, Cocoblu

RattanIndia Enterprises, on 11 January 2022, operationalized its e-commerce foray by approving an investment of Rs 350 crore in its wholly-owned subsidiary Cocoblu Retail to build and undertake the business of online retail on e-commerce platforms.

Cocoblu Retail (Cocoblu) will be partnering with several big and small brands in India to bring them onto leading online platforms in the country. Cocoblu will scale up local micro, small and medium manufacturers and help them build their brands and reach their true potential through digital channels. This would provide a great opportunity for online retail in India devoid of complexities and capex of physical retail.

Cocoblu seeks to be a dominant seller in multiple categories on these online retail platforms in the country. This funding will be utilized by Cocoblu to develop its business including creation of tech-enabled access to consumers for select brand owners/ sellers on the platforms of leading e-commerce sites in India. The venture will offer end-to-end solutions to brands & sellers to help them achieve a scalable model. Cocoblu envisages working with upcoming brands/ ventures by giving them the right positioning in a highly competitive sector through its solution.

India's e-commerce sales are projected to rapidly grow from Rs 2.8 trillion in 2021 to reach Rs. 8.8 trillion in 2025. This will be underlined by India's burgeoning base of internet users which will stand at 900 million in 2025. Leveraging its rich demographic advantage India offers access to one the largest pools of Gen Z and Millennials globally. The investment in Cocoblu will further RattanIndia Enterprises' (REL) interests in India's high-potential e-commerce industry.

On a consolidated basis, RattanIndia Enterprises' net loss stood at Rs 4.48 crore in Q2 FY22 as compared to a net profit of Rs 0.05 crore in Q2 FY21. Net sales stood at Rs 0.54 crore in Q2 September 2021.

RattanIndia Enterprises is the flagship company of Rattanindia Group for its new age growth businesses. The company has forayed into electric mobility space through Revolt Motors to democratize clean commute using next-gen mobility solutions. The company is completely focused on providing world class electric mobility products which are affordable and accessible to every Indian.

Shares of RattanIndia Enterprises was locked in a upper circuit of 5% to close at Rs 63.25 on BSE yesterday, 11 January 2022.

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