One of the biggest home appliance companies in India, Voltas is in dire straits as its parent company, Tata Group is planning on selling the company citing extreme difficulty in upscaling the business because of steep competition within the market.
Voltas is one of the oldest companies in Tata Group’s portfolio. It was founded in 1954 and dealt in air conditioners, coolers and commercial-size refrigerator units. As of now, the company has a good presence in India, the Middle East, South Asia and some parts of Africa.
Voltas also had a joint venture with Turkish conglomerate, Arcelik AS by the name of Voltbek Home Appliances Limited. They sell AC, Refrigerator, microwaves and many more such appliances. In 2017, they set a goal of reaching $1 billion in revenue and a 10% market share in the next 10 years, but that goal is not seemingly fading into obscurity.
Many people feel that Tata might bide its time with the brand due to the recent recovery done by the brand and considering that Voltas is one of the top companies owned by Tata. The share prices of Voltas stock have risen steadily this year and are up by 3%, giving the brand a valuation of around $3.3 billion.Â
The goal Voltbek set for themselves was very ambitious. But they have managed to achieve one of the goals, i.e., reaching $1 billion in annual revenue. This year, Voltbek reported a revenue of $1.2 billion and reached a market share of 3.3% for refrigerators and 5.4% for washing machines.
