One of the premier diversified and transnational conglomerates, The Hinduja Group has chalked out a broader theme for the group’s future in renewable, electric vehicles, charging business such as battery storage systems and financial services – wealth management. This, according to the family head, Gopichand P Hinduja (GP), Chairman of the Group, is an organic extension of the group’s existing businesses.

The group has invested globally in 10 business verticals — ranging from industrial manufacturing to Information Technology Enabled Services — and has a multi-billion dollar turnover. It is aware of the changing times and is prepared to take up the challenges, said Hinduja.

In India, the group is exploring options of expanding into speciality chemicals through Gulf Oil, focus on Original Equipment Manufacturers (OEMs) through Ashok Leyland, and aims for value creation of $35-40 million from the BFSI business by 2030. The group is also working on renewable projects in India.

A traditionally closed group, it decided to open up to media to showcase its latest project — the former Old War Office in Whitehall — situated in one of London’s most historically important and powerful addresses. The Old War Office is now home to nine destination restaurants and three bars, a 120-room Raffles London, and 85 Raffles branded residences. At the helm of The OWO project is the Hinduja Group and Onex Holding, a private investment group with a strong track record of developing and operating strategic and critical infrastructure

Doing a select media roundtable, GP, along with his siblings and the next generation, said: “The group works on five principles: word is a bond; act local, think global; partnership for growth; advance fearlessly; and work to give.”

On the India growth story, he said: “China has a lot of money, the US is becoming weaker, but India economically is growing well...” 

Talking about its India businesses, Dheeraj Hinduja, a third-generation member of the family and current Chairman of Ashok Leyland, Hinduja Leyland Finance, and Hinduja Tech, said: “On how is the group moving forward in terms of businesses, with changing environment as you rightly said, new areas are coming on. So, naturally, one of the key thrust areas is to ensure that all the businesses move in the digital age, move with the right technologies. We were in thermal power now moving very fast and growing the business in renewables from an automotive side, moving into the electric vehicle side.”

According to Sanjay Gopichand Hinduja, Chairman of Gulf Oil International, “not only charging business, but the entity will also look more into speciality chemicals”.

Emotional on the loss of the eldest Srichand Parmanand Hinduja early this year, the man who had spearheaded many of the business plans of the group, the brothers GP, PP Hinduja and Ashok Hinduja, countered the question on the group unable to create an identity like Ambani and Adani in India. GP said: “Our brand is only one, the principles of our father and his values.”

future strategy

On future strategy for Ashok Leyland, Dheeraj said: “We want to become an Indian global OEM — with increased focus on exports and manufacturing at outside locations...the entity has already made a foray, and now we are looking at other GCC markets. This year, we’ll start moving into Philippines and Malaysian markets as well and, hopefully, very soon into Indonesia. The former CIS countries offer a large opportunity. So, I would say barring Europe, US, and Japan, we are looking at all parts of the world and we will enter Europe with electric buses in 2025.”

At the moment 10-11 per cent of the revenue’s are coming from overseas, and within the next five years, the target is to definitely be over 20 per cent, he said, adding: “That’s also because the Indian market has substantial room for growth.” 

As regards the Lucknow project, he said: “We’ve selected a site, and I think we’re looking forward to having the first buses roll out within 15 to 18 months from now.”

On Gulf Oil, Sanjay said: “Although there are a lot of Gulf retail outlets outside of India, but in India there are stipulations to entering a retail market...we are looking at investments in downstream in India from a Speciality Chemical angle. As you know, we’ve invested in Houghton International, now it’s become Quaker. Quaker Houghton is listed on the New York Stock Exchange.”

“We have just now inaugurated the new facility in Dahej for Quaker Houghton, the old plant in Kolkata and at the moment, a new investment will go in to expanding that capacity. As far as Gulf Oil is concerned, our first plant was in Silvasa, second plant, reinaugurated, 2.5 years ago in Chennai. Now very near us, actually, the Ashok Leyland facility and we’re now looking at maybe a third plant, just about thinking it on the table at the moment.”

On investments in Telangana he said, “It’s something which is actually on the table now. We haven’t thought about capacity where, but of course, it’s early days... all projects in this segment including the speciality chemicals will happen through Gulf Oil India, which is a listed entity.”

Asked about raising stake in IndusInd Bank, Ashok Hinduja, Chairman Hinduja Group of Companies (India), Chairman of IndusInd International Holdings Ltd. and Chairman for Hinduja Global Solutions Ltd, said “we are going as per policy. We have a go ahead to take stake up to 26 per cent.”

“In the BFSI business, we are targeting to touch anywhere between $ 35 to 40 billion value creation by 2030,” he said.

On plans for IndusInd International, a Mauritian company, he said: “It will be listed by mid next year. This entity will be listed because the shareholders who had invested at $1 per share have already got twice 100 per cent cash bonuses. So, today the NAV is roughly around $45 plus. So they are all looking for an opportunity to at least part exit….”

“The jurisdiction that’s already under study. We have looked into discussed with Singapore Exchange, we have looked at Dubai Exchange, we have looked at the Mauritius Exchange, we have also looked at Luxembourg Exchange,” he said adding “so we are looking to the opportunities where it’s more practical and little flexibility, because we also don’t want that when it is listed, all the shareholders go and sell 100 per cent.”

reliance cap

The Hinduja Group is sticking to its strategy on Reliance Capital once it is acquired. “Once Reliance Capital is acquired it will remain as a separate entity,” said Ashok Hinduja Chairman of IndusInd International Holdings Ltd, Chairman Hinduja Group of Companies (India), and Chairman for Hinduja Global Solutions Ltd.

“Though the parent is common, but each is a separate operating entity,” he said. For example, Reliance Capital’s general insurance is run separately, while in its life insurance business, Nippon has a 49 per cent partnership. In health and general insurance, Reliance Capital has 100 per cent ownership.

IndusInd International Holdings Ltd (IIHL) has emerged as the sole bidder for Reliance Capital. But it is now stuck in a legal battle with Ahmedabad-based Torrent Investment, which was left out in the second round of auction. In the second round, IIHL emerged as the sole bidder after Torrent Investment opted out. IIHL submitted an all-cash bid of ₹9,800 crore, according to reports.

Torrent Investment has for the second time knocked at the doors of the Supreme Court to stay approval of resolution plan by NCLT.

(The writer was recently in London on the invite of The Hinduja Group)