The Rs 500 crore TTK group, the largest manufacturer of pressure cookers and condoms in the world, is reviewing its business portfolio.
The group has identified consumer products distribution, durables and healthcare as its thrust areas. Spinning, printing, food and branded innerwear businesses have been designated as non-core areas and the group is in the midst of reviewing them.
The group is also evaluating options for the printing business, a division of TTK Healthcare. It may either sell its interest or hive off the division into a separate firm by roping in a strategic ally, Raghunathan said.
The group has signed an agreement recently for the sale of its spinning business. The spinning mill situated at Andhra Pradesh has a capacity of 25,000 spindles. T T Raghunathan, executive vice-chairman of TTK group said, "We have just signed the agreement and the money is yet to be received." It is learnt that the sale will generate around Rs 6 crore for the company.
In consumer products distribution, Raghunathan said, "The focus will be on non-FMCG (niche) categories as we believe our strengths is in our comprehensive distribution network developed over a period of time." The Chennai-based group is planning to enter into strategic alliances or joint venture with other foreign companies for distributing the latter's products in India.
However, Raghunathan refused to divulge further details on it. TTK Tantex, the branded innerwear business as well as the foods business are also under the group's scrutiny. The foods business includes Fryums and Yummies. The company will however continue to retain a regional presence as far as these brands are concerned. The group's paper and bulk drugs unit that belonged to TTK Healthcare were divested in the last 15 months for around Rs 8 crore.
The group recently divested its 49 per cent stake in Sara Lee TTK for Rs 20 crore. It will continue to distribute the products of Sara Lee TTK even after the selloff. It distributes products such as Kiwi range of shoe care products, Brylcream range of personal products and toiletry care products such as Flush Kleen and Dranex.
In the healthcare business, the company's core brands include Chitra heart valve and Woodward's grapewater. The group has a joint venture with Seton Scholl Healthcare Plc for manufacturing and marketing condoms. Its condom brands include Durex, Kohinoor and Fiesta.
In consumer durables, TTK Prestige, the flagship arm of the group has acquired the marketing rights of the Prestige brand in all the markets of the Middle East and Africa. The company has been marketing its pressure cooker/kitchenware under the brand name, Manttra, outside India.
Raghunathan said, "Manttra is a well-known brand in certain countries such as the US but in certain regions Manttra will be replaced by Prestige."
