Max Ventures and Industries Ltd. (MaxVIL), the second company listed following the demerger of the erstwhile Max India, today announced its financial results for the first quarter of FY2016-17. MaxVIL, which serves as the Max Group’s entrepreneurial arm to explore the ‘wider world of business’, reported strong performance, with consolidated operating revenues of Rs. 154.9 Cr. and consolidated Profit Before Tax (PBT) of Rs. 3.8 Cr. in Q1 FY2017.
MaxVIL was formed as one of the resultant entities following the demerger of the erstwhile Max India Limited in January 2016, and the Company’s stock started trading on the BSE and the NSE earlier this year in June 2016. MaxVIL, which is the holding company for Max Speciality Films (MSF), an innovation leader in Speciality Packaging Films manufacturing, has undertaken key expansion efforts over the past few months. The MSF Board last year approved an investment of Rs. 250 Cr. in an additional 5thBOPP line which will increase its production capacity by a significant 60% to over 70,000 tonnes per annum. The line is expected to commence operations from October 2017.
In addition to MSF, MaxVIL has also announced plans around 3 new business verticals as well. The first, Max Estates, is a recently incorporated wholly owned subsidiary of MaxVIL and will lead the Company’s projects in the real estate space. Max Estates has initiated construction and site development activities on its maiden project in Dehradun, Uttarakhand and is in the process of obtaining the requisite regulatory approvals. The project represents ~0.15 million sq.ft. of residential and ~0.01 million sq.ft of commercial developable space.
The second business is MVIL’s fully-owned subsidiary, which will facilitate intellectual & financial Capital to promising and proven early-stage organizations across identified sunrise sectors. The said wholly owned subsidiary made its first investment in July 2016, after the MaxVIL Board approved an investment of Rs. 335 million in Azure Hospitality Pvt. Ltd. in May 2016, which owns and operates Mamagoto, a mid-scale casual dining restaurant chain and Speedy Chow/Roll Maal, a quick service restaurant (QSR) format for Indian & Chinese street food and an Institutional Catering Service.
The final business vertical planned under MVIL will operate in the Education space.
Commenting on MaxVIL’s performance, Mr. Analjit Singh, Chairman, MaxVIL said, “At MaxVIL, our aim is to recreate the success that the erstwhile consolidated Max India had —establishing and scaling up world class businesses that redefine their category and, in turn, create value for its stakeholders.”
Mr. Sahil Vachani, Managing Director & CEO, MaxVIL, added, “Over the past few months, we have undertaken concrete actions on MaxVIL’s business plans and have moved forward on our multiple pillars of growth. We have very specific intentions and aspirations for each new business vertical and there has been significant momentum on growing each of our business verticals.”
In January 2016, the Max Group concluded a mega corporate restructuring wherein the erstwhile Max India was demerged into three separate entities, Max Financial Services, Max India and Max Ventures & Industries. The original company was renamed Max Financial Services and the ex-demerger stock of MFS started trading from 27th January 2016. The stocks of the other two demerged entities, Max Ventures & Industries and Max India commenced trading on the Indian stock exchanges on June 22, 2016 and July 14, 2016, respectively.