Bengaluru-based India’s second largest winemaker Grover Zampa has raised ₹60 crores in a fresh funding round led by Singapore-based wine investor Ravi Vishwanathan, according to Grover Zampa and its filings with the Registrar of Companies.
According to Mint, this funding is part of a larger commitment of ₹130 crores from Viswanathan, Quintela, and the AVT Group.
The funds raised will be used to launch new wines and redesign its wine tourism properties in Bengaluru and Nashik. The winemaker is also looking to partner with other wineries to strengthen its portfolio.
Grover Vineyards was founded by Kanwal Grover in 1988, it later merged with Vallée de Vin in 2012 to become Grover Zampa. The winemaker has vineyards in Nandi Hills, Karnataka and Nashik, Maharashtra. It claims to be the second largest wine producer in India, selling over 2,00,000 cases per year.
Sula Vineyards is far ahead of Grover Zampa, selling more than 1 million cases every year.
Vivek Chandramohan, CEO of Grover Zampa, said, “We plan to reach half a million cases in the next five years by reinforcing experiential marketing, increasing exports, and ensuring deeper penetration in existing markets. The company will also become more marketing-driven instead of sales-driven to connect with existing consumers as well as target millennials.”
The company plans to launch a premium sparkling wine under its La Reserve portfolio by the end of November. It is considering the fact that Reserve wines account for 40% of its overall sales by volume.
Vishwanathan’s Visvires Capital, along with Anil Ambani‘s Reliance Capital, together holds around 32% stake in Grover Zampa, while the Grover family held around 24% stake, as of April.
Vishwanathan and Reliance also have a stake of around 30% in Grover Zampa’s competitor Sula Vineyards.
Other players in the Indian wine segment include Sula Vineyards, Chateau Indage Vineyards, Four Seasons Vineyards, Fratelli Winery, and Reveilo Winery, among others.
According to a ResearchandMarkets.com report, the Indian wine market observed a growth of over 25% CAGR during the 2011-12 to 2016-18 period.