11.11.16

Suketu Talekar: Master brewer

Suketu Talekar. Illustration: Jayachandran/Mint


When I first met Suketu Talekar in Pune, back in 2009, Brewcrafts Microbrewing Pvt. Ltd, which produces Doolally craft beers, was still making test batches of ales and ciders. As I watched Talekar, then 32, and German head brewer and co-founder Oliver Schauf, whom he met online when he was looking for a partner, haul sacks of malt and hops from the storage room to the brewery, they had to explain to me the basics of how a beer is made.
“Beer is, essentially, the shit and piss of yeast,” Talekar, Doolally’s co-founder, had said, guffawing. They had to carefully list the differences between an industrial beer and a craft one, and why the latter was more desirable. As India’s first microbrewery, Doolally’s principal challenge then was simply letting consumers know there was more to beer than Kingfisher and Foster’s.
Just seven years later, India has more than 30 microbreweries. If you’re anywhere in Bengaluru, Pune, Gurgaon or Mumbai, you’re not far from a pub that will serve you a craft beer on tap. Even your local wine shop may have bottles of craft beer made by an Indian company.
Talekar, who is in charge of Doolally’s marketing and sales—Schauf handles the making of the beer—is neither surprised, nor overly excited, about the rapid growth of a market he helped open up. “If you make a good beer, consumers will love it. That was always a no-brainer for me,” he says.
We are sitting at the Doolally Taproom in Bandra, Mumbai, one of three such outlets in the city. The company, which began selling its beers at The Corinthians Resort & Club in Pune in 2009, brought its brews to Mumbai in 2015. The Bandra Taproom, wholly owned and run by Doolally, was their first outlet, and since then, two more have opened, one in Andheri and another at Kemps Corner. These restaurants are perpetually filled with increasingly knowledgeable beer drinkers who don’t even need the menu, let alone an explanation of what craft beer is, to place their order.
But the education process has not been completed, says Talekar. “We have moved a long way from walking into a bar and asking just for ‘a beer’. Now, we walk into a bar and ask for a brand and a style—a Gateway Doppelganger or an Independence IPA (India Pale Ale),” he says. “Customers know there are possibilities of beer beyond Kingfisher and Foster’s. But really understanding what those possibilities are, that is an ongoing process.”
"Among light, session beers, Talekar’s favourite styles are Gose, a salty, tarty German beer; Saison, which is easy to drink; the English bitter; and the English brown ale, particularly Hobgoblin, made by the Wychwood Brewery Company. Among challenging styles, he loves Indian Pale Ales, Belgian Tripels and Porters."-
As that process continues, Talekar expects the industry to grow to a size that will dwarf what is now being heralded as a craft-beer boom. The US has seen the number of microbreweries reach nearly 5,000, even though the first one opened only in the late 1970s, he says. At this early stage in India, he sees other microbreweries more as allies than as competitors. “More players means more perspective on the product. It means more experimentation. It means consumers holding brewers to a higher standard, which means improvement on the product.”
And he is impressed with the quality of entrepreneurs entering the craft beer industry, something he thinks will be critical to the pace it grows at. “People are making conservative estimates about the market for craft beer because they are underestimating the quality of the entrepreneurs entering this market. I believe there is a qualitative difference between the early bunch of winemakers and the early bunch of craft-beer makers. I will put my money behind a statement that in five years, craft beer will be 2x or 3x bigger than the wine industry. Which would mean that in 10 years, we would have done what the wine guys haven’t managed to do in 25 years. And that’s because of the quality of the entrepreneurs.”
One of the stumbling blocks for the craft-beer industry has been the red tape one has to navigate to begin making craft beer and, then, package it in a way that is profitable. A number of breweries have complained that without being allowed to bottle their beers, they are left with too few revenue streams to break even. Talekar thinks the extent of these problems is overstated. Doolally has joined hands with a few other breweries to form the Maharashtra Craft Brewers Association, and they are seeking, among other things, permission from the excise department to sell beer in growlers (air-tight jugs used to store beer) at brewpubs. “It will be like parcelling beer, like you parcel food at a restaurant,” Talekar explains.
Someday, he would also like to see Doolally beers sitting in bottles in stores. But at the moment he is not fixated on finding new ways to package and sell his beer. Rather, his days are spent managing Doolally’s Taprooms and ensuring that he “wins with every consumer who walks in”.
Doolally’s Taprooms have become popular in Mumbai as places for relaxed get-togethers. They are brightly lit, unlike other pubs; the music is soft, allowing conversation; and the walls are lined with shelves full of books and board games, suggesting this is a place you will not be hurried in. Talekar understands that the context in which he sells his beer is as important as the product. “We believe that people don’t come here to eat and drink. They come here for something else. They come here to spend time with friends, someone they love or their colleagues. It’s like an extension of their living rooms.”
Born in Gujarat’s Bhavnagar and schooled in Nashik, Talekar did a course in production engineering from the Jawaharlal Nehru College in Aurangabad. After a stint with his father’s company, which did sales and after-sales service of diesel engines, Talekar completed his master’s in business administration from the Indian Institute of Management, Bangalore, in 2004. He then worked as an assistant brand manager with Procter & Gamble in Singapore. He had always been a beer drinker, but had never drunk truly good beer until he began frequenting a brewpub named Brewerkz there. He returned to India a year later with the idea of bringing good beer to his home country. His conservative family wasn’t too happy; they didn’t think “decent” people should be dealing in liquor.
After a decade-long journey with BrewCrafts Microbrewing/Doolally, Talekar is doing things he had never imagined he would. Such as managing a pub. “We only began running our first 18 months ago, and now we have three, without raising any money. What I’ve learnt in this time is that there is no greater marketing tool than experiential retail. You can actually moderate how a person feels. That’s why every Apple store is worth a hundred million dollars that Microsoft spends on advertising.”
Doolally’s beer sales have grown 400% since 2014 and their total revenue has increased by 1,000% in the same period. They’ve also added to their staff, currently at around 180, and have moved from working out of the Taprooms to an office in Santacruz. With this pace of growth, employees come to work every day knowing they are going to have to face new challenges, which is why Talekar sees his role as that of a cheerleader. “I believe in letting people be. I think that if you recruit right, then your job is to create conditions that will let people succeed and give them the leeway to make decisions and mistakes too. It’s natural when you are doing so many new things for morale to dip at times. My job is to get everyone excited about the big picture.”

Source By: livemint

1.8.16

पहले था इंजीनियर, अब मरीजों के लिए चलाता है टैक्‍सी

Engineer Became a Taxi Drive


टैक्सी ड्राइवर से इंजीनियर बनते तो आपने देखा होगा पर क्या कभी सुना है कि कोई आदमी इंजीनियर से टैक्सी ड्राइवर बन गया हो। जी हां, एक आदमी ऐसा है जिसने इंजीनियरिंग की नौकरी छोड़कर टैक्सी चलाने का काम करता है। ये पिछले 32 सालों से मारीजों को मुफ्त में अपनी टैक्सी से अस्पताल छोड़ने का काम कर रहे हैं। इनकी यह टैक्सी जरुरतमंदो के लिए एम्बुलेंस बन जाती है। लेकिन कभी ये टैक्सी ड्राइवर पेशे से इंजीनीयर थे। एक हादसे ने इनकी पूरी जिंदगी बदल दी।

Engineer Became a Taxi Drive

75 साल के विजय ठाकुर मुम्बई में आम टैक्सी ड्राइवरों की तरह लोगों को उनकी मंजिल तक पहुंचाने का काम करते हैं। कभी वह पेशे से इंजीनियर थे। बाद में उन्होनें इंजीनियर की नौकरी छोड़कर टैक्सी ड्राइवर बनने का फैसला किया।

Engineer Became a Taxi Drive

1984 में उनकी पत्नी का गर्भपात हो गया था। उस दिन रात के 2 बजे रहे थे। पत्नी को अस्पताल ले जाने के लिए वह टैक्सीवालों से गुहार लगाते रहे। लेकिन अस्पताल ले जाने के लिए कोई तैयार नहीं हुआ था।

Engineer Became a Taxi Drive

उसी दिन विजय ने जरूरतमंदों को वक्त पर अस्पताल पहुंचाने के लिए अपनी नौकरी छोड़ दी और लोगों के लिए टैक्सी सर्विस शुरु की।

Engineer Became a Taxi Drive

एक फोन कॉल पर उनकी ये टैक्सी पलभर में ही एम्बुलेंस बन जाती है। विजय कभी भी किसी मरीज से पैसे नहीं लेते।

Engineer Became a Taxi Drive

विजय ठाकुर के 19 वर्षीय बेटे अमित ठाकुर की मौत 1999 में हो गयी। इसके बावजूद भी उनका इरादा कमजोर नहीं हुआ। 


Jignesh Shah arrested in NSEL scam

A file photo of founder and former chairman of Financial Technologies (India) Ltd (FTIL) Jignesh Shah. Photo: Mint

The Enforcement Directorate (ED) on Tuesday arrested founder and former chairman of Financial Technologies (India) Ltd (FTIL) Jignesh Shah in the National Spot Exchange Ltd (NSEL) commodity exchange fraud.
“Shah has been arrested for not cooperating with the investigative processes,” said a senior ED official on condition of anonymity.
ED, a specialized financial investigation agency under the ministry of finance, has found evidence of money laundering against Shah under the Prevention of Money Laundering Act, 2002 (PMLA), according to ED officials.
This is the second time Shah has been arrested in connection with the NSEL fraud. He was arrested by the Economic Offences Wing of the Mumbai Police in May 2014 and granted bail by the Bombay high court three months later.
Shah will be produced before the special PMLA court on Wednesday by the ED, which filed its first chargesheet in the NSEL scam in April 2015.
In the chargesheet, the ED alleged a criminal conspiracy leading to the Rs.5,574.35 crore scam at NSEL, which was 99.99% owned by FTIL. Shah was the chairman of FTIL.
ED had also registered a criminal case against Shah under the PMLA in 2013.
In addition, ED had attached properties worth Rs.600 crore in the case. These include the properties of defaulters such as N.K. Proteins, PD Agro Processors and Mohan India. In June, the review group of the department of economic affairs had asked the ED to start auctioning the attached properties.
Hearings on the case pertaining to the ED’s chargesheet have been stuck due to technical reasons.
Last Thursday, a special court on money laundering offered some respite to the 68 accused in the NSEL scam, including Shah, who were supposed to make a personal appearance before the court. Shah was granted an exemption on medical grounds.
The crisis at NSEL came to light on 31 July 2013 when the exchange suspended trading in all but its e-series contracts. These, too, were suspended a week later.
The suspension may have been prompted by an instruction from the ministry of consumer affairs to the exchange asking it not to offer futures contracts. A spot exchange isn’t supposed to do so, but NSEL was doing that.
“We fail to understand why such a coercive step has been taken by the Enforcement Directorate when Shah has been fully cooperating with the investigation and has been going every time he has been called, including today, especially when ED’s own complaint has failed to establish any money trail to either Shah or 63 moons. We have full faith in Indian judiciary and sincerely believe that truth will prevail,” said 63 Moons Technologies Ltd (formerly FTIL).


Casino operator Jaydev Mody returns to real estate roots with Rs500 crore fund

Delta Corp. founder Jaydev Mukund Mody. The fund will focus on domestic mid-sized projects. Photo: Outlook Business/Soumik Kar


Mumbai: Jaydev Mukund Mody, a gambler-turned-entrepreneur and the founder of Delta Corp. Ltd, the company focused on casinos in Goa, has entered the real estate investment business through his new Rs.500 crore private equity fund.
Eagle Capital Advisors Pvt. Ltd has launched the fund, Alpha Advantage Real Estate Fund, with a green shoe option of an additional Rs.500 crore, a senior executive said.
A green shoe option allows the fund to raise more money than originally planned.
The fund, headed by Sudarshan Bajoria, former director and co-head, real estate, at ICICI Venture, will focus on domestic mid-sized projects. It has a tenure of six years that can be extended by a further two years.
Mody, who cut his teeth in the real estate development business (he developed Mumbai’s iconic Crossroads Mall), will be the non-executive chairman of the fund, while Bajoria will be the managing director.
Mody has also been involved in the development of several large residential and commercial complexes in Mumbai, including Peninsula Corporate Park, Ashok Towers, Ashok Gardens, and Peninsula IT Park.
Mody’s experience in real estate development and his own in “investment” will help the fund “reap better returns for investors”, Bajoria said. “The fund will do two to three deals in a year with a ticket size of Rs.50-100 crore,” he added.
The fund, Bajoria said, will work with the developers of mid-sized projects (400,000-500,000 sq. ft) that are in their initial stages, across Mumbai, Pune, and Bengaluru.
Alpha Advantage is entering the space at a time when real estate developers are looking for funds in a market characterized by tight funding and poor demand. “The current scenario offers an opportunity for private equity players to invest in realty projects and bargain for better returns. Currently, there is no dearth of debt funds in the real estate market; competition is stiff, leading to lower yields and IRR (internal rate of return), and refinancing is prevalent leading to prepayment of investments,” said Mody, whose wife Zia Mody is one of India’s best-known corporate lawyers.
With the Reserve Bank of India making it easier to launch real estate investment trusts, or REITs, and infrastructure investment trusts, several investors are in fund-raising mode.
“Pure equity investments are making a strong comeback in the real estate space,” said Ramesh Nair, chief operating officer and international director at property consultancy firm Jones Lang LaSalle India.
The interest of new investors from China and Japan in Indian realty will make the fund-raising easy for newcomers (such as Alpha Advantage), Nair added.
Indiabulls Alternative Investments Ltd has plans to raiseRs.1,000 crore for a new fund from non-resident Indian investors based in West Asia, Asia-Pacific and Europe.
IIFL AMC Ltd is raising a Rs.750-crore debt fund, which will be India’s first category III AIF (alternative investment fund) real estate fund.
Piramal Fund Management Pvt. Ltd, part of Piramal Capital, the financial services unit of Piramal Enterprises Ltd, is launching a $250 million (about Rs.1,600 crore) platform with a pension fund to undertake equity investments in residential projects.
Piramal Fund launched a $500 million platform with Canadian Pension Plan Investment Board to provide debt financing to residential real estate firms in 2014.
Poor demand for homes has brought down private equity investments in Indian real estate in 2016.
Private equity investments dropped 42% in the six months ended 30 June to $954 million from the year-ago period, according to data from VCCedge.
Private equity funds invested about $1.6 billion in real estate projects between January and June 2105.

Sun Pharma reshuffles management, Abhay Gandhi North America CEO

Shares of Sun Pharma rose 0.45% and were trading at <span class='WebRupee'>Rs.</span>787.25 on the BSE at 10.15am, while the benchmark Sensex gained 0.18% to 27,859.41 points.

Hyderabad: Sun Pharmaceutical Industries Ltd, India’s largest drug maker, on Wednesday announced key changes in its top-level leadership for North America, India and emerging markets units.
Abhay Gandhi, the head of India and sub-continent business, will take over as chief executive officer (CEO) of the crucial North America business of the company.
Gandhi, a Sun Pharma veteran, will be based in the US and his appointment will be effective August, the company said.
“In his new role, Abhay Gandhi will spearhead the growth of Sun Pharma’s business in North America,” the company said in a statement.
North America contributes nearly half of Sun Pharma’s generic sales totalling Rs.28,000 crore in the year ended March 2016.
Kal Sundaram, who is the CEO of Sun Pharma’s North America business, will be heading the company’s India and emerging markets business. Sundaram will be based out of the company’s global headquarters in Mumbai. India and emerging markets together contributed about 39% of total generic sales of Sun Pharma in 2015-16.
Sundaram, who is also the CEO of Taro Pharmaceuticals, the US subsidiary of Sun Pharma, announced last week that he will be stepping down by the end of 2016.
Sun Pharma said it will conduct a formal process to appoint a CEO to solely focus on Taro.
Sundaram will assist the board with its search, and will remain with Taro through the end of 2016 to ensure a smooth and successful transition for his successor.
Sundaram, a former GSK executive, played a crucial role in turning around Taro Pharmaceuticals.
Sundaram became CEO of Taro in April 2012. He had been Sun Pharma’s CEO since April 2010 and played a role in accelerating the company’s growth in India and other emerging markets.
Sun Pharma acquired a controlling stake in Israel-based Taro in 2010, marking the culmination of a three-and-half-year takeover battle.
Shares of Sun Pharma rose 0.45% and were trading atRs.787.25 on the BSE at 10.15am, while the benchmark Sensex gained 0.18% to 27,859.41 points.


You need stars for brand value, mass reach: Neerav Tomar

Neerav Tomar says nobody looks beyond cricket, and the attitude is let’s sell what sells and forget the rest. Photo: Ramesh Pathania/Mint


New Delhi: Neerav Tomar made a strange decision back in 2005. In a country with little to show in terms of a sporting culture outside of cricket, he started a small company, called Infinity Optimal Solutions (IOS), to promote non-cricket athletes. Tomar, a national-level squash player, was drawn to squash and boxing.
Over a decade later, after almost having to shut shop multiple times for lack of work and funds, IOS is now one of the hottest sports talent management companies in India. Tomar, 31, manages some of the country’s top athletes with his team, including boxers Mary Kom (for whom they struck a movie deal) and Vijender Singh (who turned pro on their advice); badminton player Saina Nehwal, wrestler Sushil Kumar, and even cricketer Suresh Raina.
In an interview, Tomar speaks about India’s most valuable athletes, the early struggles, and the 2016 Rio Olympics. Edited excerpts:
Who is your most valuable athlete right now?
I think Saina Nehwal is one of our biggest deals, worth around Rs.25 crore. When she won a medal at the 2015 world championship, we got quite a few deals; we’ve made close to 60% of the Rs.25 crore. The timing was perfect. She’s already done shoots for multiple brands and we’re just waiting for them to roll out into ads. She is our No.1 athlete in terms of endorsements and revenues.
She is a tough customer. She is very committed to her sport, maybe overcommitted. She’s a person who is so into her training that she has very little time for shoots and even time for herself. I know Saina from the 2008 Olympics. She had just started coming into the limelight, and back then we helped her by trying to get some endorsements, she helped us by coming to some of our events. We had been in touch with her for almost eight years before signing.
Last year was a great year for you, you had a spate of high-profile signings: Nehwal, Vijender Singh, Suresh Raina...
Yes, it’s been a great year. Suresh Raina was our first cricket signing. Finally, 10 years of our work started paying off. I knew it was going to take a decade to start a completely new concept, something no one has done before in India. It was literally a joke in 2005 to talk about sports outside cricket. There was just no market; even for cricket, there wasn’t much of a market because even the IPL (Indian Premier League) came in 2008 and then the sporting market started to grow. But before the IPL it was just a huge empty space. IPL gave a massive shot in the arm to the sporting industry; because of it we have the belief that localized top-level world sporting content will work, and work commercially.
Raina quit his long partnership with Mahendra Singh Dhoni and Rhiti Sports. Was that a dramatic signing?
No, it was a very smooth transition, not like Jerry Maguire! Rhiti gave us an NOC (no objection certificate). Most companies that managed cricketers were under the scanner for conflict of interest, so a lot of people wanted to move and find new pastures. In India, sports management is not very competitive yet. There is mutual respect and not much poaching in the market.
Yet when you were still a young company, you had some trouble with Vijender Singh.
Yes, this was in 2009. At that time we had struggled for years, and we had just one athlete with us, Vijender. When he won the Olympic medal in 2008, that is what kept the company alive. It was the first time we started making money. He was everything for us. Before that, the only thing we could do was get some cheap barter deals for clothes and equipment. After the medal, we struck so many deals. We got a deal with Pepsi, that was the first time Pepsi had signed someone who was not a cricketer or a Bollywood star.
But then in 2009, in the middle of the boxing world championship in Milan, Vijender went and signed up with another company without even telling me. And I was there with him from day one. It was a very dark time for me, for the company. For many months we had no work. We had lost our star. Actually, he was the only athlete we had. It took a huge toll on me and the company.
But you got back together last year, you were behind the decision to make Vijender fight in the pro ranks.
We kept in touch, you know, a text message once a year or so. Back in 2009 we had spoken about going pro. That was always the dream. New York, Las Vegas, world titles. Because we could see he was a phenomenal boxer, a thinker of a boxer, a good-looking guy, superbly confident, the complete package. That didn’t happen.
But last year, on 2 May, there was the Floyd Mayweather Jr- Manny Pacquiao fight. There was huge hype around it, a huge build-up, fight of the century and all that, so I sent a text to Vijender saying, “This was the dream, do you see what I was talking about 10 years back?” And I got a reply: “Let’s do it.” And then just like that we were back together, with the same energy, the same connect.
I said, “Listen now. Do you have faith in me, to take you the distance?”
He said, “Yes. If you make me fight Mayweather tomorrow, if I have the right trainers and the coaching, I’ll fight anybody in the world.”
Mary Kom is a big success story for you, but what was it like when you signed her back in 2008 to have a four-time boxing world champion who was unknown in her own country?
She deserved so much more systemic support. She was really unknown, it was so depressing. When we put Mary in the system—our sponsor engagement team, our events team—and we made the calls, they said: “Mary kaun? (Mary, who?)”. Nobody knew her! It was a very difficult time. One company came forward to sign her, a small figure, way less than Rs.10 lakh, just a gesture really, but that was important. Now that company has stayed with Mary for eight years, and also supports her academy. Now Mary endorses some 16 brands—a remarkable story. Her brand value—if you look at the overall scenario, including a book and a film— will be over Rs.100 crore.
In 2010, she won the world championship again, and we did a big event. That was the start. By the way, the boxing federation had not planned anything. We constantly started to work on her PR (public relations) image, on who she is, on where she comes from, her life story. I knew that Mary will win an Olympic medal, and I knew that the medal will change everything—we had seen the same with Vijender. I remember sitting right here in this office when Mary made it to the Olympics, we celebrated, ordered a few bottles of red wine. At that time, Vijender had moved on, and Mary was the only big name on our portfolio, nobody else. So then we went to London with her, and I was certain that she would get silver or gold, so the bronze was a shocker.
You were also behind her film deal. Was it odd that an icon of the North-East was played by Priyanka Chopra?
No. See, the thing is, at the end of the day, there are no free lunches, you know, in terms of the production house spending a lot of money. At the end of the day, it was business for them. They had to bring in a big star: here, it’s the only thing that sells. I think it was not a bad choice, and in terms of just portraying it right, they’ve showcased the best that they could showcase: her story, and the North-East part of it. Commercially, and reach-wise, it was brilliant. It has reached so much into the masses that Mary Kom became a household name. This would never have happened without the film, and the star.
You also recently signed a deal with the Indian Olympic Association (IOA), and you made the controversial decision of bringing in Salman Khan as brand ambassador for the 2016 Olympics.
We’re trying to make Olympic sport a household name. How? People said why not Mr Milkha Singh? But we had a plan. We wanted four brand ambassadors who were very clearly from four walks of life. We wanted to get the most legendary name in cricket, we got Sachin Tendulkar. We wanted to get the biggest household name in Bollywood, there’s nobody bigger than Salman Khan. Now we can always debate about his issues and his personal life, but let’s keep that aside. People love him, there are masses who love him, ready to do whatever he says. Then you have the biggest musician in the country, A.R. Rahman, who has also given us the rights to his song, and we’ve requested him to make a jingle. And then we’ve got the biggest achiever in the Olympics, a gold medallist in Abhinav Bindra.
There are 150 million digital fans on social media right now. Through Salman alone, we’ve got 40 million. Imagine the reach of that.
It’s very important to bring these stars into it, who are household names, so that there’s brand value and mass reach. In the 89-year-old history of the IOA, this is the first time that they are trying to do proper commercialization. This can only mean more money for sports, for athletes, and an increase in popularity and participation.
Nobody looks beyond cricket and the comfort zone. Let’s sell what sells and forget the rest, that’s the attitude. How can any other sport thrive in that atmosphere?
What happens if we don’t win medals at the Olympics?
A huge drawback. But I think India will win at least eight medals. I won’t be surprised if we win 12.

Movers and Shakers | Helion’s Dhruv Kapoor quits, Warburg Pincus loses executives

The private equity space in India has witnessed churn at the mid-level management space as several principals at large buyout funds have moved to their Indian peers.


Mumbai: YuvaStartups brings to you your monthly dose of key movement of people in the Indian investment landscape, primarily spanning the world of private equity, venture capital and investment banking.
Dhruv Kapoor of Helion quits to spearhead Sistema Asia Fund: Last month, Dhruv Kapoor of Helion Ventures left the VC fund to head Sistema Asia Fund as its managing director. Kapoor served Helion for eight years as vice-president, from July 2008 to July 2016, at its Gurgaon office and assisted Helion with 18 investments in technology and non-tech sectors. Russia-based Sistema floated a $50 million Asia Fund, Sistema Asia Fund Pte Ltd, in July 2015 to invest in start-ups in India and Asia. The Singapore-based fund will make direct investment in private and public companies in India.
While at Helion, Kapoor was the board observer on several of Helion’s portfolio firms such as MoEngage, a user analytics and engagement platform for mobile apps; Wooplr, a fashion discovery app; CrownIt, an app that provides cash-back deals at restaurants and retail outlets; Railyatri, a train travel tech start-up; and dating app Trulymadly. The Russian conglomerate has appointed Andrey Tebernin, former head of Sistema’s investment portfolio and former executive board member, to oversee the funds operations in India. Emails sent to Sistema went unanswered. Calls and text messages sent to Dhruv Kapoor did not elicit any response either.
Warburg Pincus loses mid-level executives: The private equity space in India has witnessed churn at the mid-level management space as several principals at large buyout funds have moved to their Indian peers.
Prashant Kumar, who quit Warburg Pincus in January as principal, joined ChrysCapital in March and focuses on the consumer and manufacturing sectors. During his stint at Warburg Pincus, Kumar focused on the consumer, manufacturing and infrastructure sectors. Kumar also worked at Karsch Capital Management, a New York-based hedge fund, and at SUN Capital, an emerging markets-focused private equity firm. An MBA from Wharton, University of Pennsylvania, Prashant began his career as a consultant with McKinsey & Co. in India.
Sumit Sinha, another principal at Warburg Pincus, quit the US fund after a five-year stint. Sinha is joining Renuka Ramnath-led PE fund, Multiple Asset Management, soon. Both Sinha and Multiples Private Equity confirmed the move.

5G the foundation for realizing networked society’s full potential: Ulf Ewaldsson

Ulf Ewaldsson, senior vice-president and group chief technology officer at Ericsson. Photo: Pradeep Gaur/Mint


New Delhi: Ulf Ewaldsson is excited to be in India and it’s not just the rainy weather that has perked him up. The senior vice-president and group chief technology officer of Ericsson Inc. is gung-ho about India’s potential as a key technology player, the coming spectrum auctions and Digital India.
Ulf Ewaldsson, 51ULF Ewaldsson was appointed group chief technology officer at Ericsson Inc. on 1 February 2012. He was earlier the head of product area radio at Ericsson’s Business Unit Networks and was instrumental in helping create some of the products that reflect Ericsson’s technology leadership. Ewaldsson graduated with an MSc in Engineering and Business Management from Linköping Institute of Technology.
Of course, he is equally excited about 5G and how his company is leading efforts in this direction, ensuring that 5G becomes the global standard. In an interview, Ewaldsson spoke about Ericsson’s 5G journey. Edited excerpts:
On why he’s visiting India and his thoughts on India:
India is a market where we see enormous potential, and it is expected to continue to grow with a very, very rapid speed and much higher than many other markets in the world, as far as data traffic is concerned. In fact, according to our forecast, while the rest of the world will grow 10-12 times maximum when it comes to data traffic, India will grow 17 times; so there is very high growth here. The other thing that brings me here is the spectrum auctions—India is probably the only market which has the least spectrum allocated to service providers. Excitement around the new 700 auctions here is very high. In fact, it is a hot topic and there are expectations from the government, expectations from the service providers’ side, there is a risk of high price which can then limit the roll-out plans and how much can be left for deployment of equipment. But, nevertheless, it is important that new spectrum comes out in India. India is also a market where people are talking of Digital India and even non-telco companies are waking up to digitalization.
On 5G, Internet of Things (IoT) and Cloud as major drivers of the networked society:
5G is the foundation for realizing the full potential of the networked society. 5G will enable organizations to move into new markets and build new revenue streams with radically new business models and use cases, including IoT applications. The new capabilities of 5G span several dimensions, including tremendous flexibility, lower energy needs, greater capacity, bandwidth, security, reliability and data rates, as well as lower latency and device costs.
The first-generation mobile network (1G) was all about voice. 2G was about voice + texting. 3G was about voice + texting + data. 4G was everything in 3G but faster. 5G will be something totally different.
Like the transitions to 2G and 3G, the move to 5G will add a new element: the industrial Internet. And, like the transition to 4G, it will be much higher performance than the previous generation. But it will be much more than that. With 5G, we’ll see connectivity-as-a-service based on network slicing. 5G will enable more secure transactions and the energy efficiency to deploy IoT devices with a battery life that is 10 times longer than today. All this will create opportunities for new use cases that we haven’t yet dreamed of, new markets, and radically new business models.
On the road map for 5G and use cases for 5G:
5G is not financially optimized yet. We are spending enormous amounts of money on research projects in the US, in China and in Europe. I hope there are more research projects in India on 5G because it is important for India to be a part of the research phase because we are studying how this will benefit society and companies both. We are entering an exciting phase of the 5G journey as we are at the standardization phase. The gigantic standardization process is gaining ground and great efforts are being made in all areas to align the industry. As the technology leader, Ericsson takes enormous responsibility in leading this journey and ensuring 5G becomes the global standard. We aim to finish standardization by the end of this year, build first chips by 2018-19 and the target is to roll out 5G by 2020.
5G can be used across industries as an end-to-end solution that is extremely reliable.
For example, smart cities in India: given the fact that about 843 million are expected to live in urban areas by 2050, India needs to find smarter ways to manage complexities, reduce expenses, increase efficiency and improve the quality of life. Talking about smart cities, the first step in transforming a city into a sustainable smart city is to connect it. From street lights, to water pipes to garbage trucks, everything will be connected. At Ericsson, we are already designing 5G to meet the needs of cities, creating the next generation of networks that will solve city challenges.
Once connected, city services will be improved and augmented to increase city attractiveness, competitiveness and sustainability. In the sustainable smart city, utilities are connected to improve energy consumption, and distribution and transportation are managed in real time through connected vehicles and traffic infrastructure, and public safety is integrated and coordinated across response agencies for maximum efficiency.
Other use cases include the low latency of 5G which will enable connecting robots and moving their intelligence in the cloud. This will lower the cost of the robots and make it possible to control a group of robots centrally, e.g. on a factory floor.
5G for automotive: 5G will enable vehicle-to-vehicle, vehicle-to-pedestrian, and vehicle-to-infrastructure communications, as well as platooning, which is assisted driving for trucks... And we’ve got 5G radio prototypes that operators can deploy in live field trial environments. Smaller and more powerful, the prototypes build on insights gained from testing on Ericsson’s 5G radio test bed, together with operators, both indoors and outdoors, for testing in realistic network environments.
As 5G includes so much more than radio, the transition to 5G for operators will be more extensive than any previous generation network. At Ericsson, we are building 5G as an evolution of our industry-leading 4G LTE technology and, as a result, we expect many components to be launched before 2020.

PTI appoints Venky Venkatesh as CEO

A screen grab of PTI website

New Delhi: Press Trust of India (PTI) has named Venky Venkatesh, HT Media Ltd’s chief learning officer, as the news agency’s chief executive in a board meeting headed by PTI chairman Hormusji N. Cama.
Venkatesh will replace M.K. Razdan, editor-in-chief and CEO who was at PTI for 50 years.
The PTI board comprises 16 members, including vice chairman Riyad Mathew, director of Malayala Manorama Co. Ltd, and Vineet Jain, managing director of Bennett, Coleman & Co. Ltd among other representatives from leading newspapers.
“He has been selected and we have made an offer to him. We hope he will take PTI’s journey forward. We have been wanting to get started on video clips and get us more digital exposure,” Cama said over the phone.
PTI employs more than 400 journalists and 500 stringers to cover almost every district and small town in India. Collectively, they put out more than 2,000 stories and 200 photographs a day to feed its subscribers.
Venkatesh has spent 10 years at HT Media. He has also worked as the business head for HT Media in north and east, a stint during which he worked closely with the editorial and business teams. Venkatesh is an alumnus of the Indian Institute of Management, Ahmedabad and started his career with Hindustan Unilever Ltd.


Pankaj Patel appointed Bayer CropScience chairman

A screen grab of Bayer CropScience website.


New Delhi: Bayer CropScience Ltd on Tuesday appointed Pankaj Patel as non-executive director and chairman of the company following beleaguered businessman Vijay Mallya’s resignation last month.
In a filing to BSE Ltd, Bayer CropScience said the board, in its meeting held on Tuesday, appointed Pankaj Patel as an additional non-executive director of the company with effect from 5 July.
“The Board further appointed Pankaj Patel as the Chairman of the Board with effect from July 5, 2016 to chair all the meetings of the Board of Directors and the General Meetings of the company,” it added.
Last month, Mallya resigned as chairman of Bayer CropScience after over 12 years of holding the position in the company. Mallya ceased to be the chairman and director with effect from 30 June.
Pankaj Patel is the chairman and managing director of Zydus Cadila. With an experience spanning over 40 years in the Indian pharmaceutical industry, Patel combines both research and techno-commercial expertise.
Patel is also the chairman of Bayer Zydus Pharma Pvt. Ltd—a joint venture between Bayer (South East Asia) Pte Ltd and Cadila Healthcare Ltd.

A marketer’s job is much tougher now: Samar Singh Sheikhawat

Samar Singh Sheikhawat, senior vice-president of marketing, United Breweries.


Bengaluru: Samar Singh Sheikhawat knows a thing or two about wooing the Indian consumer. Even before taking over as senior vice-president of marketing at India’s biggest beer maker United Breweries Ltd in 2009, the consumer goods veteran played an instrumental role in putting Tropicana (now owned by PepsiCo) on the map and as Dabur’s head of sales and marketing.
Samar Singh SheikhawatSheikhawat completed his MBA from Symbiosis, Pune. Post this, he started his career with Cadbury India Ltd in 1989 and then went on to work with companies such as Hindustan Unilever Ltd (ice cream business), Energiser Batteries Ltd, PepsiCo and Spencer’s Retail Ltd in various capacities. He joined United Breweries Ltd as senior vice-president of marketing in November 2009.
In an interview, the teetotaller lamented the death of customer loyalty and spoke about the struggles tied to wooing younger drinkers and why India is not ready for diet beer. Edited excerpts:
Why do you say it is harder to win customers these days?
In the old days, availability and making sure your product reached point of sales/point of consumption was perhaps sufficient to ensure trial. Today, like in every other category, consumers are buying in wider repertoire than ever before. Loyalty is a fickle bedfellow so to speak. The consumer is far more promiscuous today than he ever was. Earlier on, we would say your most-often-used brand is, let’s say, six or seven times out of your last ten purchases. Today, if you are buying it four times out of ten, then that’s your most-often-used brand.
Are you spending more on marketing now than before?
Every brand is on TV. We have done some six films with our packaged drinking water which is a legitimate brand, which I think is the fourth-largest in the packaged drinking water brand in the country. You have Tuborg on air, have Carlsberg on air, you have Fosters on Air, you have got us on air, you have 4-5 different brands that are on TV, so the amount of spends on mainstream TV for beer has increased significantly. Digital is a huge area of intervention.
Traditionally you have focused on a few key events such as IPL to promote your brands. Will that change?
Kingfisher has always been associated with sports, food, fashion and music. Sports is the single largest. The single largest sporting event in this country is IPL. It is bigger than Euro, World Cup, Copa America, Olympics and Champions League. More importantly, it’s not just sport: it’s entertainment, glamour. I call it “India’s largest reality show”. So yes, we will continue to invest very heavily there.
Tell us about Pitchers and how it came about.
Pitchers is a story about four young people who quit their jobs to start up a business and how their lives are governed by KF (Kingfisher) beer. It is a new web series that is based around an office situation. Very interestingly, we took the idea of Pitchers from the start-up web series that TVF had produced and we have actually launched a real world app called Pitchers, which we hope will become the Zomato of the drinks and night life world. We will be launching in Delhi, Mumbai.
Has your job as a marketer become easier because of your wider reach through social media and new selling channels?
I think it has become much tougher because consumers expect much more—they want it here, they want it now. If you don’t give it, they will go somewhere else. They will not spend extra time looking for your brand. They get turned off by pure sponsorship, by pure advertisement. They believe every advertisement has an agenda. There need to be checks and balances in digital.
We are not allowed to sell alcohol through e-commerce for instance. Otherwise I guarantee you that we would have dominated that segment as well.
What is your biggest challenge these days?
The repertoire is the single biggest consumer challenge for us. The same consumer is buying on a regular basis 4-5 different brands of beer. Increasingly, loyalty is much harder to come by and they are just buying wider numbers which means one brand may not necessarily have all the solutions. The larger challenge for us is change of consumer taste. A youngster does not want to drink the beer his father drank or driver drinks.
What amount of your revenue goes into marketing?
Six to seven percent. Revenues also increase. Even if it (marketing spend) remains flat, the absolute numbers keep going up.
Are Indians still partial to a stronger brew of beer?
About 85% of the Indian beer market is strong. (It won’t change) till alcohol gets consumed in our country as refreshment.
What are some of the things you are experimenting with?
We have been very proactive with our brand launches.
Seven new brands in seven years is unthinkable in the alcohol industry. It is a scorching pace in any consumer product industry. You cannot address all consumer choice and preference in a single offering.
Do you worry about the rise of micro breweries?
It is still small volumes—90% of them are still making losses. It’s really small but growing at a good pace. We are closely watching it, analysing it, evaluating it.
The whole philosophy of microbrewery is different in India from that of America. In America, it’s anti-establishment. In India, it’s a cool place to go, be seen.
Is India ready for a diet beer?
We have tried KF Diet, maybe it was ahead of its time. Low calorie in India gets decoded as low alcohol. That’s what people don’t want. They want high alcohol. So, if you sell something diet, it gets decoded as low alcohol. Unlike in the cigarette business, where you have Marlboro lights and Kings Lights, here low calorie is decoded as low alcohol. (For many in India), the main reason to drink is to get a certain kick. But never say never.
How are you dealing with the liquor ban in Bihar and closures in Tamil Nadu?
No comment.
How do you prepare for something like that?
We work in whatever environment we are given. You cannot prepare for something like this. Sometimes you get an indication. That’s the nature of business. We been in this business for a long time, we are used to policy changes.
Whatever the law is in letter and spirit, we are compliant. Foster ad, Tuborg ad... that product does not exist (their ads promoting soda in beer-shaped bottles). You are unnecessarily playing with fire, pushing your boundaries.
What is your read on rural demand?
Too early to tell. The year has just started. Hinterland is all about strong beer, driven by daily wage labourers, truck drivers, field labourers. All of this is related to agricultural income. This year is supposed to get 104-106% of monsoon compared to last year. This is good news for us because it fuels income in the hinterland and therefore drives consumption. We can only tell in the third quarter.