Varun Beverages to manufacture Kurkure Puffcorn

CNBC-TV18 has learnt that Varun Beverages will begin manufacturing Kurkure Puffcorn for PepsiCo India.

This is the first time the company has forayed into non-beverage manufacturing. Before this they would manufacture all the beverages for PepsiCo India itself and this is where the big potential is.

According to Jefferies, this move is a precursor to something big in the company overtime and Varun Beverages is known to have a strong relationship with PepsiCo. They are also known as a strong execution powerhouse. The firm has a buy rating on the stock with a target price of Rs 1,215.