Aditya Birla Group

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Aditya Birla Group
Private
IndustryConglomerate
Founded1857; 161 years ago (1857)[1]
FounderSeth Shiv Narayan Birla
HeadquartersMumbai, Maharashtra, India
Area served
Worldwide
Key people
ProductsAgribusiness
Carbon black
Cement
Chemicals
E-commerce
Ferro chem
Financial services
Banking
Mining
Retail
Telecommunications
Textile
Wind power
Trading solutions
RevenueIncrease US$44.3 billion (2018)[3]
Number of employees
120,000 (2015)[4]
Websitewww.adityabirla.com

The Aditya Birla Group is an Indian multinational conglomerate, headquartered in Worli, Mumbai, India.[5][6] It operates in 35 countries with more than 120,000 employees worldwide.[7] The group was founded by Seth Shiv Narayan Birla in 1857. The group has interests in sectors such as viscose staple fibre, metals, cement (largest in India), viscose filament yarn, branded apparel, carbonblack, chemicals, fertilisers, insulators, financial services, telecom, BPO and IT services.

The group had a revenue of approximately US$44.3 billion in year 2018.[3][8] It is the third-largest Indian private sector conglomerate behind Tata Group with revenue of just over US$100 billion and RIL with revenue of US$74 billion.

Non-ferrous metals[edit]

The Group's non-ferrous metals are under Hindalco Industries.[9] Its manufacturing locations are primarily in India and it owns mines in Great Sandy Desert, Australia near Nifty Airport called Birla Nifty Copper Operation. On 11 February 2007, the company entered into an agreement to acquire the Canadian company Novelis for US$6 billion,[10] making the combined entity the world's largest rolled-aluminium producer. On 15 May 2007, the acquisition was completed with Novelis shareholders receiving $44.93 per outstanding share of common stock. The Group plans to close a part of its aluminium foil making mill in UK and shift that to its plant near Nagpur.[11][12]

Hindalco makes alumina chemicals, primary aluminium, rolled products, alloy wheels, roofing sheets, wire rods, cast copper rods, copper cathodes and several other products.[13]

Cement[edit]

The Group's cement business was earlier under Grasim Industries and UltraTech Cement. The two entities have now been merged into UltraTech Cement to form India's largest cement company. UltraTech Cement was acquired from L&T in 2004.

Carbon black[edit]

After purchasing Columbian Chemicals Co[14][15] the Group is now the largest manufacturer of Carbon black worldwide.[16]

Textile business[edit]

The Aditya Birla Group is the world's largest producer of Viscose staple fibre.[17] It operates from India, Laos, Thailand, Malaysia and China. It owns the Birla Cellulose brand. Apart from viscose staple fibre, the group also owns acrylic fibre business in Thailand, viscose filament yarn businesses and spinning mills in India and South East Asia. The group has pulp and plantation interests in Canada and Laos. It also owns the Domsjö factory in Sweden which exports viscose today. The Swedish government is hoping to negotiate further investments in Sweden, in particular in the hyper-modern future biorefinery in the city of Örnskökdsvik.[18] Its two companies i.e. Aditya Birla Nuvo Ltd and Grasim Bhiwani Textiles Ltd which is a subsidiary of Grasim Industries are in textile business. Grasim Industries was recently placed 154th in a list of the world’s best regarded firms compiled by Forbes.[19]

Fashion[edit]

Aditya Birla Group sells in-house and other branded apparel via brick-and-mortar and online stores. The group's firm Aditya Birla Fashion & Retail Ltd sells in-house brands such as Louis Philippe Allen Solly, Peter England and People via their individual brand stores and through other multi brand outlets. It also operates a multi brand fashion retail chain Pantaloons which it acquired from Future Group.[20]

The group ventured into niche target and select portfolio apparel in October 2015 with Abof.[21] However the group decided to shut ABOF citing non profitability of eCommerce sector.[22]

Planet fashion[edit]

'Planet Fashion' is a men’s clothing brand. Commencing in 2001, Planet Fashion now has more than one hundred fifty retailers in 100 cities throughout India. Planet Fashion,[23] right now, is an acronym being a menswear getaway giving comprehensive closet alternatives for all those occasions, around price things, while using greatest brands throughout each category.[24]

The Aditya Birla Group’s retail store enterprise – Madura Fashion & Lifestyle – is one of the strongest developing brand clothes corporations throughout The Indian subcontinent. Global marketing involves models like Van Heusen, Allen Solly, Philip Britain and Louis Philippe. Madura Fashion & Lifestyle has 1607 shops, covering 2.2 sq. ft. connected with retail store room. It has 1,500 premium multi-brand shops along with 320+ departmental shops worldwide. The company outsources engineering, textiles and apparel.

Telecom Services[edit]

Aditya Birla Group is the majority shareholder of Idea Cellular.[25] Idea Cellular was started as a joint venture with the AT&T and the Tata Group. After an IPO on the Indian stock markets, Idea Cellular now accounts for a third of the group's market capitalisation. The company is headquartered in Mumbai. On 31 August 2018 Idea Cellular completed it's merger with Vodafone India and thereby became largest telecom company in terms of subscribers and revenue, surpassing Airtel.

Financial Services[edit]

Aditya Birla Capital (ABC) is the umbrella brand for all the financial services business of The Aditya Birla Group. ABFSG ranks among the top 5 fund managers in India (including LIC) with an AUM of US$23 billion.[citation needed] Having a strong presence across the life insurance, asset management, lending (excluding Housing), housing finance, equity & commodity broking, wealth management and distribution, online money management portal—Aditya Birla Money MyUniverse, general insurance advisory and private equity and health insurance businesses.[citation needed] In FY 2013–14, ABFSG reported consolidated revenue from these businesses at just under 70 billion (US$970 million) and profits of about 7.5 billion (US$100 million).[citation needed] The financial services arm of the group is currently headed by Ajay Srinivasan.[citation needed]

See also[edit]

References[edit]

  1. ^ "Aditya Birla Group | Our group | Milestones". Adityabirla.com. Archived from the original on 19 November 2010. Retrieved 19 November 2010.
  2. ^ "Aditya Birla Chemical Business elevates Santrupt Misra as CEO — Aditya Birla Group". Aditya Birla Group. Retrieved 2018-08-07.
  3. ^ a b "Aditya Birla Group | Our Group | Aditya Birla Group Profile". Adityabirla.com. 23 June 2010.
  4. ^ "!DEA – An !dea can change your life". Ideacellular.com. Archived from the original on 23 November 2010. Retrieved 16 July 2010.
  5. ^ "Contact." Aditya Birla Group. Retrieved on 6 November 2013. "Aditya Birla Group Headquarters - Aditya Birla Centre, 3rd Floor, S K Ahire Marg, Worli, Mumbai, India"
  6. ^ "Media | Press releases | Hindalco Industries Ltd. and Novelis Inc. announce an agreement for Hindalco's acquisition of Novelis for nearly US$ 6 billion". Hindalco. 11 February 2007. Retrieved 16 July 2010.
  7. ^ "Aditya Birla Group – Aditya Birla Group India – Aditya Birla Group Profile – History of Aditya Birla Group". Iloveindia.com. 21 July 2007. Archived from the original on 25 August 2010. Retrieved 16 July 2010.
  8. ^ "Best Employers in India 2007". Hewitt Associates Best Employers in India Survey. 13 April 2007. Archived from the original on 14 October 2007. Retrieved 20 September 2007.
  9. ^ "Hindalco Industries good for long-term investment-Investor's Guide-Features-The Economic Times". Economictimes.indiatimes.com. 5 July 2010. Retrieved 16 July 2010.
  10. ^ S. Prasannarajan (26 March 2007). "India Today". India Today. Retrieved 16 July 2010.
  11. ^ "AVB Group plans to move part of UK mill to India". The Times Of India. 30 June 2012.
  12. ^ "Birla buys Novelis for $6 bn". The Indian Express. India. 12 February 2007. Retrieved 12 February 2007.
  13. ^ "Hindalco deal may not impact aluminium prices". The Hindu Business Line. 13 February 2007. Retrieved 16 July 2010.
  14. ^ "Columbian Chemicals - provider of high-quality carbon black - Home". 7 February 2011.
  15. ^ http://www.adityabirla.com/media/press_releases/201101jan/birla_carbon_acquire_columbian_chemicals.htm Archived 7 February 2011 at the Wayback Machine. Press Release,
  16. ^ "Aditya Birla Nuvo Ltd(500303|ABIRLANUVO) Fundamental details about Management Discussions". Indiainfoline.com. Retrieved 16 July 2010.
  17. ^ "Birla rejigs fibre, pulp business-Jobs-News By Industry-News-The Economic Times". Economictimes.indiatimes.com. 3 May 2010. Retrieved 16 July 2010.
  18. ^ "Sven-Erik Bucht på skoglig främjarresa i Indien". News Powered by Cision. Retrieved 2017-11-24.
  19. ^ "12 Indian firms feature in Forbes' list of world's best companies". hindustantimes.com/. 2018-10-02. Retrieved 2018-10-03.
  20. ^ Tandon, Suneera (2015-12-19). "Madura experiments with first omni-channel retail". livemint.com. Retrieved 2016-05-09.
  21. ^ "Aditya Birla Group enters ecommerce, launches online fashion portal abof.com - The Economic Times". The Economic Times. Retrieved 2016-05-09.
  22. ^ Bailay, Rasul; Maheshwari, Richa (2017-09-22). "Aditya Birla Group to shut ecommerce site Abof.com". The Economic Times. Retrieved 2018-03-27.
  23. ^ "Planet Fashion - Latest & Breaking News on Planet Fashion - Photos, Videos, Breaking Stories and Articles on Planet Fashion". Moneycontrol.
  24. ^ "Planet Fashion to touch 200 stores mark - Apparel - news - Fashion News India, jobs, network, apparel, business". fashionunited.in. Retrieved 2015-04-09.
  25. ^ "Aditya Birla Group's think tank gets younger-Corporate Trends-News By Company-News-The Economic Times". Economictimes.indiatimes.com. 25 June 2010. Retrieved 16 July 2010.

External links[edit]