Carnation Hospitality will invest Rs 250 crore over the next five years to expand its bouquet of food and beverage (F&B) brands
Carnation Hospitality will invest Rs 250 crore over the next five years to expand its bouquet of food and beverage (F&B) brands, said a top company executive. The company recently acquired rights to operate certain F&B outlets at metro stations in Delhi.
"This space is interesting as it generates huge footfalls for the brands," said Sanjay Chhabra, managing director of Carnation Hospitality, which is the wholly-owned subsidiary of consumer packaging company Rollatainers. Chhabra added that the company has also won bids to operate F&B outlets at railway stations such as Haridwar, Panipat and Mumbai Central among others.
"The investment will be funded through internal accruals and funds from the promoters," said Chhabra. Rollatainers entered the food business early last year through its subsidiary Carnation Hospitality.
Carnation has since acquired existing F&B businesses such as Barista for Rs 100 crore from Lavazza, becoming the fourth owner of the coffee chain. The company is currently revamping the Barista brand and outlets across the country. "We are refurbishing the stores to make them up to date and modern," he said, adding that the company plans to reach 550 outlets in the next three years from the current 190.
Carnation also has homegrown brands like Kylin, a chain of casual dining restaurants and Mapple foods business, a food supplier to corporates, which have existed for over adecade. Chhabra said the company plans to grow to over 100 outlets of Kylin in the next five years, from the current eight outlets.
Carnation recently opened the first outlet of Wendy's, the third largest burger chain in the world, in India. Wendy's franchisee, Sierra Nevada Restaurants, is a joint venture between International Market Management of England and Rollatainers, which opened the first outlet in Gurgaon in May. Chhabra said the company plans to open 150 outlets of Wendy's in the country over the next five years.
"We are targeting the malls and high streets and in the first phase we are expanding in Delhi by this fiscal year and then moving to markets like Mumbai, Bengaluru and Hyderabad." Carnation will also open the first outlet of Jamie's Italian, the Italian restaurant brand owned by celebrity chef Jamie Oliver, in October in Delhi.
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