 "Ravi Jaipuria")
Ravi Jaipuria has reportedly formalised the succession plan within his $3-billion RJ Corp, owner of Varun Beverages, PepsiCo's second-largest bottler outside the US, and Devyani International (DIL), which manages KFC, Pizza Hut, and Costa Coffee outlets in India.
According to an Economic Times (ET) report, Jaipuria's son Varun will oversee the food and beverages sector, while his daughter Devyani will assume leadership in healthcare and education.
"Succession planning at RJ Corp has been established, including a roadmap for Varun and Devyani to take on strategic leadership roles," ET quoted Jaipuria. He further added that day-to-day operations will remain in the hands of professionals.
Who gets what in RJ Corp succession?
Both Varun Beverages (VBL) and Devyani International are named after the founder's children and are listed companies.
Devyani will oversee the healthcare portfolio, encompassing Cocoon maternity hospitals and stem cell banking, as well as educational institutions such as Delhi Public Schools in Gurgaon and Jaipur, the report claimed.
Jaipuria, the founder, will retain the position of chairman at RJ Corp, where he will continue to supervise overall growth, policies, expansion, and diversification efforts, ET reported.
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"This framework is designed to ensure the company's continuity and stability while infusing fresh perspectives into new leadership," Jaipuria told the business daily.
"Central to our strategy is the role played by our professional team, which manages the daily operational aspects. This blend of professional management and strategic leadership is key to driving RJ Corp forward, ensuring agility and innovation remain at the core of our operations," he added.
DIL and Varun Beverages balance sheet
Devyani International reported a consolidated profit of Rs 9.6 crore in the December quarter, down 87 per cent from the year-ago period.
Varun Beverages reported a consolidated net profit of Rs 132 crore during the period, a growth of 77 per cent.
On April 22, Varun Beverages stock closed at Rs 1,433 on the National Stock Exchange, up 2.64 per cent. Devyani International gained 1.24 per cent to end the day at Rs 163.05.
RJ Corp global operations
Regarding global operations, Varun has gradually become involved in the business, overseeing various geographies and roles. VBL operates in nine countries with 45 manufacturing facilities, bottling and distributing PepsiCo's beverages, including Pepsi, 7UP, Mirinda, and Mountain Dew fizzy drinks, Sting energy drink, Tropicana juice, and Aquafina water, to 3.8 million outlets worldwide.
Meanwhile, DIL operates various franchises in India, Nepal, Nigeria, and Thailand, including KFC, Pizza Hut, Costa Coffee, Vaango, and Food Street. Additionally, DIL operates Cryoviva Biotech Pvt, founded by RJ Corp in 2006, offering umbilical cord stem cell services globally. Cryoviva also operates in Thailand, Singapore, West Asia, Nepal, Vietnam, and East Africa.
In December last year, RJ Corp announced two global deals: VBL acquired South Africa's Beverage Co (BevCo) for Rs 1,320 crore, and DIL entered Thailand by acquiring 274 KFC outlets.
