Former Indian consumer electronics’ giant BPL Ltd is back in the business after a major restructuring of operations, which includes clearing all accumulated debts.

For starters, it has tied up with India’s largest e-commerce player, Flipkart, to launch a range of TV sets under its brand on the e-commerce platform. It will also launch washing machines as well as refrigerators on the e-commerce platform.

“In today’s environment, using the e-commerce platform is the best way to get back into business. We have had a soft launch of our TV sets sometime ago, and it is already among the top three brands on Flipkart’s platform,” BPL Ltd’s Chairman and Managing Director, Ajit G Nambiar, told BusinessLine .

BPL history Nambiar said Flipkart had held talks sometime ago to re-launch a range of BPL brands on its platform, which had resulted in the company kick-starting it with the introduction of TV sets. BPL Ltd, a leader in consumer electronics’ goods in the eighties and the nineties, had a long standing joint venture with Sanyo of Japan, but once the tie-up folded up, the company too stopped operations. Sanyo was later acquired by Matsushita. BPL at its peak had 28 factories with man power strength of about 9,000 workers. Nambiar said the company has invested upto ₹50 crore to re-launch its consumer electronics operations and expects to end the fiscal with revenues of ₹100 crore. It expects to post revenues of ₹600 crore by 2020, he said.

BPL has launched 24-inch, 32-inch and 40-inch TV sets and closer to the festive season, will launch several more products including smart TVs.

The production of TV sets has been outsourced but the company plans to use its own manufacturing centres in Bengaluru and another in Palakkad to make TV sets as well as washing machines soon. The refrigerator production will, however, be outsourced.

BPL Ltd’s General Manager Manmohan Ganesh said that among online e-commerce sites, Flipkart sells the most TV sets. “It was the obvious thing to do. The e-commerce industry is expected to boom and we want to ride the wave,” he said.

Pricing The company will use Flipkart’s service network spread across 150 plus cities for any service related issues. The TV sets are in the priced between ₹16,000 and ₹25,000. “We expect to have the same revenues as we had during the early 2000s,” Ganesh said.

Apart from consumer electronics, BPL also has a strong medical electronics business and markets products such as portable heart care, X-rays and ultra sound equipment. Revenue from this business is about ₹350 crore.

It has also launched a product for smart homes called, BPL iQ, which has already been installed in a few apartments. “Our focus will henceforth will be on consumer goods, medical equipment business and the products for smart home,” Ganesh said.

Related Topics