The Board of Directors at Varun Beverages has approved the alteration of the company’s Object Clause, pending shareholder approval. New business activities have been added including packaged drinking water, frozen foods, and alcoholic beverages. Additionally, the board approved the incorporation of a wholly-owned subsidiary in Kenya to focus on manufacturing, distribution, and selling beverages. The meeting concluded at 11:45 A.M.
Object Clause Alteration
The Board has approved alterations to the Object Clause of the Memorandum of Association, subject to equity shareholder approval. This includes adding new sub-clauses related to diverse business activities. These additions significantly broaden the company’s scope and potential revenue streams.
New Business Activities
- Packaged Drinking Water and Frozen Foods: Manufacturing, processing, packaging, and distribution of packaged drinking water, frozen foods, noodles, milk powder, and related materials.
- Power Generation: Generation, transmission, and distribution of solar, wind, and other power sources, both conventional and renewable.
- Alcoholic Beverages: Manufacturing, producing, processing, brewing, distilling, and distribution of Ready To Drink (RTD) and other alcoholic beverages, including beer, wine, and spirits.
Kenya Subsidiary
The Board has also approved the incorporation of a wholly-owned subsidiary in Kenya. This new entity will focus on manufacturing, distributing, and selling beverages. The company will be named Varun Food and Beverages (Kenya) Limited or a similar name approved by regulatory authorities. The investment will be Kenyan Shilling (KSH) 1,25,00,000/- towards subscription of 1,25,000 Shares of face value of KSH 100/- each.
Source: BSE