Aditya Birla Group flagship Grasim announces foray into B2B e-commerce platform for Building Materials

The Board of Directors of Grasim today approved a foray into B2B e-commerce platform for the Building Materials segment with an investment of ~INR 2,000 Crore over the next 5 years. This investment adds a new high-growth engine with clear adjacencies within Grasim’s standalone businesses as also that of its subsidiaries and associate companies.

Mr. Kumar Mangalam Birla, Chairman, Aditya Birla Group said, “The foray into B2B e-commerce is yet another strategic portfolio choice as it crystallises our intent to invest in the new-age, high growth digital space. The Building Materials segment presents a huge scalable business opportunity with a proven path to profitability. With this foray, Grasim would be able to leverage the large B2B ecosystem within the Aditya Birla Group. This move will also catalyse the growth of the MSME universe in India and provide an impetus to the Government’s vision of ‘Digital India’.”

The overall building materials procurement segment in India has grown at a CAGR of ~14 per cent over the last 3 years. This industry is estimated at ~USD 100 bn with current digital penetration of just 2 per cent. Grasim’s digital platform will address various challenges within the existing supply chain.

The platform will primarily focus on MSMEs in the Building Materials segment with the potential to further extend to other relevant categories. The key value proposition would be an integrated procurement solution including on-time delivery and a superior product range at competitive pricing.

This platform will be operated by a newly recruited leadership team from the digital ecosystem.

The Company believes that B2B e-commerce is a high growth opportunity with attractive long-term returns and will be highly value accretive to its stakeholders.

About Grasim Industries Limited

Grasim Industries Limited, a flagship company of the Aditya Birla Group, ranks amongst the top publicly listed companies in India. Grasim is celebrating 75 glorious years of its existence. Incorporated in 1947, it started as a textiles manufacturer in India. Today, it has evolved into a leading diversified player with leadership presence across many sectors. It is a leading global producer of Viscose Staple Fibre and Viscose Filament Yarn, the largest Chlor-Alkali, Advanced Material, Linen Yarn and Fabrics producer in India. The company has made an entry into the paints business and setting up six plants across pan India locations. Through its subsidiaries, UltraTech Cement and Aditya Birla Capital, it is also India’s largest cement producer and a leading diversified financial services player. At Grasim, there is an endeavour to create sustainable value for employees, 262,600+ shareholders, society, and customers. The company reported consolidated net revenue of ₹95,701 Cr. and EBITDA of ₹17,772 Cr. in FY 2022.

GRASIM INDUSTRIES LIMITED
Aditya Birla Centre, 'A’ Wing, 2nd Floor, S. K. Ahire Marg, Worli, Mumbai - 400 030
Registered Office: Birlagram, Nagda - 456 331 (M.P.)
Tel: (07366) 246760-66,  CIN: L17124MP1947PLC000410
www.grasim.com & www.adityabirla.com
twitter: www.twitter.com/adityabirlagrp ; Twitter handle: @GrasimInd / @AdityaBirlaGrp