Modi Enterprises

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Modi Enterprises
Private
IndustryConglomerate
Founded1933; 86 years ago (1933) in Delhi, India
FounderGujarmal Modi
Headquarters
Key people
Samir Modi (Managing Director), Ruchir Modi (Executive Director)
ProductsConsumer products, multi-level marketing, cigarettes, food and beverages, fashion
Brands
Number of employees
28,000 approximately
Websitewww.modi.com

Modi Enterprises is an Indian business conglomerate based in New Delhi, India.[2] The US $2.8 billion group, consisting of Godfrey Phillips India, Indofil Industries Ltd., Modicare Limited, has a diversified business portfolio including cigarettes manufacturing, education, agricultural chemicals, personal care,[3] tea and beverages, entertainment, consumer products, multi-level marketing, and gourmet restaurants.[citation needed]

History[edit]

Gujarmal Modi (1902–1976), founded the Modi Group, beginning with a small family run business,[4] then expanding from 1933 onwards with companies such as Modi Sugar,[5] Modi Vanaspati Mfr Co., Modi Industries Ltd, Modi Luft and Modi Rubber,[4] Modi Paints, Modi Oils, Modi Electrodes, Modi Lanterns and Torch works, Tube wells/drilling, Modi Distillery, Modi Steels, Industrial Gases, Modi Spinning and Wvg. Mills Co. Ltd., Modi Yarn Mills, Modi Threads, Modi Soap, and Modi Carpets etc.[citation needed]

By the time Modi's brother Kedar Nath Modi joined the company, the Modi Group was India's seventh largest conglomerate.[citation needed] The company had become the center of the eponymously renamed city of Modinagar. Modi died in 1976, and KN Modi succeeded him with the help of Modi's five sons and his own three sons who later joined the family business. The founder of the company did not leave a will and, although the family remained united under KN Modi's leadership, this oversight would later cause a rift that threatened to destroy the company.[4]

In April 2010, Krishan Kumar Modi, chairman of Modi Group, announced the succession plan for his business empire, stating to the media that his business was to be shared equally among his three children, run by KK Modi Family Trust, of which he is the managing trustee. According to Modi, his children will have the obligation to appoint his successor, and only by a unanimous vote. Otherwise, the group will be sold off with the profits from the sale shared equally among them.[6]

In June 2011, The Modi Group announced that it was planning to acquire majority control in Godfrey Phillips India from American tobacco company Philip Morris. Both groups had a 36% share in the company until in 2009, Modi Group acquired an additional 11% stake in GPI from Philip Morris, taking its share to 47%. As per the Joint Venture agreement, Modi Group has the right to take its holdings up to 51% by buying further into Philip Morris' holdings to gain majority control of the company. The deal brought Philip Morris' stake down to 21%.[7]

Brands[edit]

The company's brands include Beacon Travels, Ego-Thai, Ego Italian, Godfrey Phillips, Indofil, Modicare, Modi Healthcare, Pan Vilas.[1]

References[edit]

  1. ^ a b Modi brands on Modi website, 5 Jan 2018
  2. ^ Sarkar, John (10 March 2017). "KK Modi group eyes 500 more stores". The Times of India. Retrieved 26 April 2018.
  3. ^ Dutta, Arnab (18 March 2017). "KK Modi group plans Rs 4,000-cr business rejig in four years". Business Standard India. Retrieved 26 April 2018.
  4. ^ a b c Majumdar, Shyamal (5 August 2014). "Everything you wanted to know about the Modi business family feud - and more". First Post. Retrieved 26 April 2018.
  5. ^ Rana, Uday (14 May 2016). "Lalit Modi's uncle who owes over Rs 400 crore to farmers absconding, claim cops". The Times of India. Retrieved 26 April 2018.
  6. ^ "Modi empire may be sold: K K Modi". The Financial Express (India). 27 April 2010. Archived from the original on 3 April 2015. Retrieved 15 November 2017.
  7. ^ Doval, Pankaj (23 June 2011). "KK Modi eyes 51% in Godfrey Phillips". The Times of India. Archived from the original on 19 September 2012. Retrieved 15 November 2017.

External links[edit]