Mumbai-based Indage Vintners, formerly known as Champagne Indage Limited, has entered into a Memorandum of Understanding (MOU) with Cavit S.C., a Euro 180 million wine Company based in Trentino, Italy to form business alliance through a Joint Venture Company (JVC).

According to company officials, the JV will essentially leverage the production & distribution infrastructure of both Indage Vintners and Cavit to maximize potential sales and reduce cost of market entry in various defined markets.

In addition, the JV also has aggressive plans to engage in wine production in India which will assist the expansion of new Italian varieties in India for introduction by Indage Vintners in India.

Apart from latest development, the wine producer Indage Vintners has reportedly shut down its regional offices with aim to incur lower costs and increase brand management efficiency.  

Sources familiar with the move informed that the firm is consolidating and centralizing its marketing, sales and MIS activities at its Mumbai office.  

Indage has already closed down its office in Kolkata, while other offices are scheduled to shut down shortly. Presently, the company operates 10 regional offices, across the country.  

It should be noted that the company will still continue supply to all regional markets through its distributors.

The scrip of the company closed the day at Rs 57 on BSE, down 4% compared to previous close of Rs 60. The counter has made 52-week-high and low of Rs 585 and Rs 39 respectively.