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2 BusinessLineTUESDAY • AUGUST 18 • 2020NEWS

KGIRIPRAKASHBengaluru, August 17

Rishi Pardal has taken over asthe MD of United Breweries(UB) at a time when theindustry is facing a multitude ofchallenges because of thepandemic. In an interview withBusinessLine, Pardal spokeabout how the company plansto navigate through thesedifficult times. Excerpts:

You are taking over UB at atime when theindustry iswitnessing perhapsits worst phase. Doyou see anopportunity in suchcircumstances?We are in the midst of what Ibelieve is a ‘once-in-a-centuryevent’. Piloting the businessthrough this is the immediatepriority. We are focussed onkeeping our employees safe,engaging with our con-sumers, managing cash andcost with a great deal ofprudence and keeping a closewatch on our market share in

order to ensure we getthrough this difficult period. Icertainly see the potential tobuild on all the goodwork wehave done as a company andpivot to what we need to suc-ceed in the future.

Your earlier stints with theFMCG sector were withUnilever and Marico. Also,most of your recent stintswith companies wereabroad. Howmuch of such

an experience willhelp you to managean entity which isnot only large interms of footprintbut quite complex

in terms of operations?Inmy experience, irrespectiveof product category, the fun-damentals of enhancing thebusiness value are similar.These are creating customerand consumer value, drivingproductivity and building anempowered, agile and en-gaged team of diverse talent.Having also run a large busi-ness across multiple geo-

graphies, I have learned to ap-preciate how cultures impactour ability to motivate, en-gage and leadpeople andhownuances in regulatory frame-works can impact the samecategory in different coun-tries. I believe the India situ-ation is similar for the beer in-dustry and therefore my pastexperience will help in stew-arding UB in unlocking itspotential.

UB’s market share andvolume have gone down inthe last few years. So, whilethis financial year may notbe the right time to get thecompany back on rails,what are the medium-termgoals for the company andhow does it plan to getthere?Our full focus is now on com-

ing out of this unprecedentedpandemic even stronger, withan aim to further strengthenour market position by con-tinuing to build great brands,maintain our very strong bal-ance sheet and ensure costcompetitiveness given theun-certain demand picture. Asthe consumers and marketswill likely change in the mid-term, we take a very agile ap-proach to ensure we respondeffectively to these changes.

What is the status ofthe recentCompetitionCommission of India(CCI) case against afew beer companiesincluding UB? Hasthe CCI levied anypenalties on yourcompany?

CCI has not levied any penaltyso far. It has extended thedatefor filing of our reply and wewill do so shortly. It is onlyafter the hearing of all partiesis over that the CCI wouldpass an order.

Will UB continue to focus oncraft beer, which has notperformed to its potentialso far?The craft beer category is still

a very small segment ofthe overall beer in-

dustry. We arecommitted toproviding arange ofbrands andproducts tocater to everyneed of theconsumer. UBlaunchedKingfisher Ul-

traWitbierin

Karnataka and Goa in Decem-ber and the responsehasbeenvery encouraging. We had toput our footprint expansion—which was planned for thissummer—on temporary holddue to the lockdowns; how-ever, we shall resume thisshortly.

The five States whichcontribute most of therevenues to the beer sectorhave imposed high taxes.Howwill it play out for thelargest beer manufacturer?Beer is a highly taxed productcategory in the country, withrevenues/taxes accountingfor 60-80 per cent of the endconsumer price.

Post-Covid, many States im-posed large excise duties onthe category but also rolledthem back. We hope the re-maining States follow suit.The tax per ml of beer is thehighest in the alcobev cat-egory and, as market leaders,we are working with the gov-ernments to frame a moreequitable taxation policyfor a category like beer,which is a bridgebetween soft drinks andhard liquor.

It’s not good times, butUB is keeping the spirits high

ZY"Irrespective of the product category, thefundamentals of enhancing the businessvalue are similar...creating customer andconsumer value, driving productivityand building an empowered, agile andengaged team of diverse talent."RISHI PARDALMD, United Breweries

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Focus is on coming out of unprecedentedcrisis even stronger, says MD Rishi Pardal

OURBUREAUHyderabad, August 17

Pharmaceuticals and biolo-gics company Biological E Ltd(BE) has acquired Akorn IndiaLtd, a subsidiary of US-basedAkorn Inc, for an undisclosedsum.“We are happy to have

made a strategic investmentin acquiring Akorn India,”Mahima Datla, Managing Dir-ector, BE, said in a re-lease issued onMonday. “We willleverage BE’s andAkorn India’s capabil-ities to enhance oursupply capacitiesboth in vaccines andin generic inject-ables. The timing ofthis acquisition is for-tuitous as it will immediatelyallow us to expand our capa-city to manufacture our in-vestigational Covid-19 vac-cine.”“With these capacities, we

would be in a position to offerover 1 billion doses per an-num,” she added.The deal will help Hydera-

bad-based BE, which manu-factures specialty generic in-

jectable medicines andvaccines, enhance its manu-facturing capabilities and ca-pacities, the release said.

Covid-19 vaccineIt is now developing aCovid-19 vaccine and may beable to use the facilities at theAkorn India Paonta Sahibplant inHimachal Pradesh forcommercial scale manufac-

ture of the vaccine, itadded.

The Himachalplant has a fullystaffed sterile inject-able manufacturingfacility with 39,000sqmof built-up areaspread over a 14-acrecampus with an an-nual capacity for

about 135 million units withthe potential for immediateexpansion to produce an-other 30million units.According to Narender Dev

Mantena, Director, BioE Hold-ings Inc., who heads BE’snovel vaccines initiative, theacquisitionwill allowBE to ex-pand its capacities to meetthe increasing demand in theUS and the EU.

Biological E buys Indian armofUSpharmafirmAkorn

MahimaDatla,MD, Biological E

BLOOMBERGAugust 17

The UK government’s bailouttalks with Jaguar Land Rover(JLR) and Tata Steel Ltd re-cently broke off, the FinancialTimes reported, citing peopleit didn’t identify.Talks between the UK’s

Treasury and the companies,both owned by Mumbai-based Tata Group, came to ahalt after the governmentconcluded the Indian mul-tinational was sufficiently fin-anced and didn’t qualify fortaxpayer support, accordingto the report.JLR also baulked at the

stringent conditions tied toany lending, including decar-bonisation requirementspushing electric vehicles.

Private financingThe failure to reach a deallikely leaves the companies re-liant on private financing toweather the economic down-turn. Both businesses remainin talks with the governmenton other areas of potentialsupport like tax breaks, whichcould extend to state loans inthe case of Tata Steel, the FTsaid.The Treasury told the paper

it did not comment on indi-vidual firms.Meanwhile, according to a

PTI report, Tata Motors hasdenied reports of aplan to sellits stake in JLR.

Speth’s 30% pay hikeSeparately, the Times reportedthat the pay of outgoing JLRchief Ralf Speth has risen 30per cent on last year to £4.44million ($5.8 million). “That’sat the same time as the com-pany increased its cost-cut-ting target to £2.5 billion andcut thousands of jobs. Histotal earnings for the pastfour years came to £18millionpounds,” it said.

UK’s bailouttalkswith JLR,TataSteel end

SANGEETHA CHENGAPPABengaluru, August 17

Among the top 16 tourismmarkets in the world, India isat the third last place in hotelbookings recovery for theweek ended August 9, 2020,compared to the same weeklast year. However, in terms ofweekly average recovery ratebetween week 22 and week 32of 2020, India is at the abso-lute bottom.This challenging trend is

expected to continue as thetraveller sentiment remainsweak,withCovid-19 spreadingin tourist centres such as Goa,Rajasthan, the North-East andKarnataka.Globally, the US (67 per

cent), China (66per cent), Ger-many (41 per cent) and

Canada (41 per cent) have wit-nessed strong recovery in thesame period as restrictionsease in these countries andthey move towards normalcy.India registered a 3 per centrecovery in week 22 of 2020(May 25-31), slowly rising to 12per cent in week 27 (June 29-July 5) and 20per cent inweek32 (August 3-9).

These are some of the keytrends observed by RateGain,a travel and hospitality tech-

nology provider that offers asuite of SaaS based productsto hotels, online travel agen-cies, airlines and car rentalfirms, among others.In India, while the week

ended August 9 saw an in-crease in hotel reservations,the top 10 markets —Ahmedabad, Chandigarh,Bengaluru, Chennai, Delhi-NCR, Hyderabad, Jaipur, Kolk-ata,Mumbai andPune— sawadip. Delhi received the mostbookings in that period, fol-lowed by Bengaluru and Hy-derabad, as perRateGaindata.

Smaller cities gain“The share of tier 2 and 3towns (in hotel bookings) isincreasing. Where earlier thetop 10 markets were getting90 per cent and above, the ra-tio last week has come downto 78per cent,with 22per centbookings going to smallerdestinations including Amrit-sar, Jammu, Coimbatore,Mysuru, Jodhpur and Rajkot.

Delhi-NCR continues to see re-covery on two trends — Aero-city hotels continue to receivebookings due to the VandeBharat Mission, while recov-ery in hotels in Gurugram,Faridabad and Noida are dueto increase in staycations andsmall wedding ceremonies,”said Apurva Chamaria, ChiefRevenue Officer, RateGain.Asked why the country’s

booking recovery rate isamong the lowest in theworld, Chamaria said: “Indiaenforced one of the strictestlockdown restrictions in theworld; plus Delhi, Mumbaiand Bengaluru, which con-tribute to 37 per cent of hotelrooms in the country, had themost number of Covid-19cases. Therefore, neither busi-ness travel, group bookingsnorMICE is happening.”

Strict lockdown,Covid spread in keymetro cities behindtrend: RateGain

Hotel bookings recovery: India ranks thirdlast among top 16global tourismmarkets

WXDelhi’s Aerocity hotelscontinue to receivebookings due to theVande Bharat Mission

OURBUREAUBengaluru, August 17

Homegrown short-formvideo app Mitron has raised$5 million in a round led byNexus Venture Partners.3one4 Capital and ArunTadanki’s private syndicate onLetsVenture also participatedin the latest round.

Mitron allows users to cre-ate, upload, view and shareone-minute videos. It waslaunched in April 2020 andachieved the 10million down-load milestone even beforethebanonChinese appsby In-dia, said the company.Mitron was founded by

Shivank Agarwal (alumnus ofIIT-Roorkee) and Anish Khan-delwal (alumnus of Vis-vesvaraya National Instituteof Technology), who hadearlier worked together atMakeMyTrip.

The latest round of finan-cing saw participation frommarquee angels includingDeep Kalra (Chairman, Make-MyTrip), Amrish Rau (CEO,Pine Labs), Jiten Gupta(founder, Jupiter), AmarjitBatra (MD, Spotify India),Anand Chandrasekharan(former Facebook, Snapdealexecutive), Karan Bajwa (MD,Google Cloud, India), RadhikaGhai (co-founder, Shopclues),Vikalp Sahni (co-founder andex-CTO at GoIbibo and Volun-teer Architect at AarogyaSetu)and Shanti Mohan (founder,LetsVenture). TK Kurien(Premji Invest), Manish Vijand Harish Bahl (SmileGroup) also participated intheir individual capacity.The company plans to use

the new infusion of capital toaccelerate its product devel-opment and hire talent.

Short-video appMitronraises $5m led byNexus

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T i û Qd ¡ Q ± p Lô p SûP A± ® V p L p í¬:

AWÑ E j R WÜ ù N uû] , BL. 18: §Ú l é o UôY h P m T i û Q d ¡ Q ± p ק RôL Lô p SûP A± ® V p L p í¬ Aû U l T R t Lô] E j R WûY Rª ZL AWÑ ©\ l © j Õ s [Õ. C kR E j R WûY Lô p SûP TWô U ¬ l × j Õû\ ØR u û U f ùNV Xô [ o úL.ú Lô Tô p ùN q Yô n d ¡ ZûU ©\ l © j Rô o.

A kR E j R W ® p á± « Ú l T Rô YÕ:}

§Ú l é o UôY h P m EÓ U û X l ú T hûP RôÛ Lô ® p T i û Q d ¡ Qß ¡Wô U j § p 42.89 H d L o TW l © p Lô p SûP L p í¬ U t ß m BWô n f£ ¨û X V m Aû U l T R t Lô] T¬ k Õ û WûV Rª r SôÓ Lô p SûP U t ß m A± ® V p T p L û X d L ZL T§ Yô [ o T¬ k ÕûW Aà l © « Ú k Rô o. CR û ] ú V tß, ØR p L hP UôL ì.12.59 ú Lô¥ ùNX ® p קV L p í ¬ d Lô] L hP P m Aû U d L l T Ó ¡ \ Õ. C k R d L p í ¬ d ù L] 135 קV T¦ « P e L Þ m úRô t ß ® d L l T Ó m G] R] Õ E j R W ® p úL.ú Lô Tô p ùR ¬ ® j Õ s [ô o.

Lú Wô] ô £¡ f û N dÏ A§L L hP Q m: R² Vô o UÚ j Õ Y Uû] ÁÕ AWÑ SP Y ¥ dûL

ù N uû] , BL. 18: L ú Wô] ô £¡ f û N dÏ A§L L hP Q m Yã # jR JÚ R² Vô o UÚ j Õ Y Uû] ÁÕ SP Y ¥ dûL GÓ d L l T hÓ, A eÏ Lú Wô] ô £¡ f û N d Lô] A e ̧ Lô W jûR Rª ZL AWÑ W jÕ ùN n Õ s [Õ.

R² Vô o UÚ j Õ Y Uû] ÁÕ C j R û LV SP Y ¥ dûL GÓ d L l T Ó YÕ CÕ CW i Pô YÕ Øû \ Vô Ï m.

Rª Z L m ØÝ Y Õ m AWÑ UÚ j Õ Y U û ] L s U hÓ U u±, TX R² Vô o UÚ j Õ Y U û ] L Þ d Ï m Lú Wô] ô £¡ f û N V ° dL Aà U§ YZ e L l T h Ó s [Õ. úUÛ m, úXNô] A± Ï ± L s E s [ Y o L Þ dÏ Sôù [ô u ß dÏ A§ L T h N UôL ì.7,500 Y û W Ù m, ¾®W £¡ f û N l ©¬ Ü dÏ ì.15 B « W m Yû W « ÛúU Yã # dL úY i Ó m G] AW NôûQ ùY° « P l T h PÕ.

C k ̈ û X « p, áÓ R XôL ì.12.50 X h N m Yã # jR ùN uû] R² Vô o UÚ j Õ Y Uû] J u ± u ÁÕ SP Y ¥ dûL GÓ d L l T h Ó s [Õ. CÕ Ï ± jÕ ÑLô Rô W j Õû\ Aû U f N o ®_ V Tô v L o ùY° « hP ùN n § d ϱ l×:

Lú Wô] ô £¡ f û N d Lô] A§ L T hN L hP Q e Lû[ ¨ o Q « jÕ,

AW NôûQ ©\ l © d L l T h Ó s [Õ.Aû R l © u T t \ ô U p ùNV p

T hP ¸ r lTô d L j § p E s[ R² Vô o UÚ j Õ Y Uû] ÁÕ H t ù L ] úY SP Y ¥ dûL GÓ d L l T h PÕ. C kR ¨ûX « p, ùN uû] , AÚ m Tô d L j § p E s[ A l Tô Nôª UÚ j Õ Y U û ] « p B nÜ úU t ù Lô s [ l T h P § p, úSôVô° JÚ Y Ú dÏ 18 Sô s L Þ d Lô] £¡f û N dÏ ì.12.50 X h N m L hP Q m ¨ o Q « d L l T h PÕ ùR¬ V Y k RÕ.

Cû R V Ó jÕ, A l Tô Nôª UÚ j Õ Y U û ] dÏ Lú Wô] ô úSô n £¡ f û N d LôL A° d L l T hP Aà U§ R t Lô # L UôL W jÕ ùN n V l T h Ó s [Õ.

Lú Wô] ô £¡ fûN YZ e Ï m Aû ] jÕ R² Vô o UÚ j Õ Y U û ] L ° Û m AW Nô p A e ̧ L ¬ d L l T hP L hPQ ®Y W jûR ùR° YôL ùTôÕ U d L s Tô o û Y dÏ ûY dL úY i Ó m G] ÑLô Rô W j Õû \ Vô p H t ù L ] úY E¬V A± Ü û W L s YZ e L l T h Ó s []. AWÑ ̈ o Q « j Õ s[ L hP Q j û R ®P R² Vô o UÚ j Õ Y U û] L s áÓ R XôL Yã # l T RôL ×Lô o ùT\ l T h Pô p E¬V SP Y ¥ dûL GÓ d L l T Ó m G uß A kR ùN n § d ϱ l © p ùR¬ ® d L l T h Ó s [Õ.

AWÑ UÕTô]d LûPLs ùNqYônd¡ZûU §\dLlThP ̈ ûX«p, ùNuû] U«Xôlé¬p Es[ LûP«p, UÕ YôeL Y¬ûN«p Lôj§ÚkúRôo.