The cigarette maker firm, ITC chairman and managing director Sanjiv Puri shared the company's investment outlay of Rs 20,000 crore for the next five years.
"Despite headwinds," the ITC chairman said this investment is to improve competitiveness and prepare for future opportunities. "Our confidence in the India story is unwavering and is reflected in ITC’s investment outlay of about Rs.20,000 crores in the medium term," he said addressing the media after the annual general meeting on July 26.
The capital allocation plan includes approximately 35 percent to 40 percent going into the FMCG sector, another 35 percent into paper boards and packaging, and the rest into other businesses, including corporate.
Puri shared plans for setting up a new site for the paper boards and packaging business. There are plans to set up a new greenfield site due to the saturated state of the Bhadrachalam site. The site will be expanded in a modular fashion.
Chairman Puri highlighted the increasing preference for quick commerce, with e-commerce percentage growing from six percent to 8 percent, while quick commerce contributed two percent of it.
Additionally, the proposed demerger of ITC Hotels from the main business is on track and expected to be completed within the next six months, he said. This move was approved by ITC shareholders, and the company aims to explore opportunities focusing on proximal markets as part of its asset-right strategy for ITC Hotels. This strategic shift foretells an exciting future for the company.
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