Segement wise capital outlay

A segment-wise capital outlay for Fertile Ventures can be broken down into different business verticals, each requiring specific capital investments. The capital outlay would cover initial setup costs, ongoing investments, and growth-related expenses.

1. Hospitality (Eco-Friendly Hotels and Nature Resorts)

Initial Setup Costs:
o Property Acquisition/Leasing (existing properties only): INR 200-300 crore
o Renovation and Sustainability Conversion: INR 100-150 crore
o Equipment and Furnishings: INR 50-70 crore

Ongoing Investments:
o Maintenance and Upgrades: INR 20-30 crore/year
o Marketing and Branding: INR 10-20 crore/year
o Staff Training and Development: INR 10-15 crore/year

• Total Capital Outlay (5 Years): INR 400-600 crore

2. Agribusiness Projects (Sustainable Farming and Agri-Tech Ventures)

Initial Setup Costs:
o Land Leasing/Partnerships (no direct land purchase): INR 50-80 crore
o Agri-Tech Investments (IoT, Precision Farming): INR 30-50 crore
o Organic Farming and Sustainable Practices: INR 20-30 crore

Ongoing Investments:
o R&D for Sustainable Practices: INR 10-15 crore/year
o Supply Chain and Distribution Networks: INR 20-25 crore/year
• Total Capital Outlay (5 Years): INR 200-300 crore

3. Real Estate Development (Sustainable and Green Projects)

Initial Setup Costs:
o Investment in Existing Properties (Conversion to Green Properties): INR 150-200
crore
o Infrastructure Development (Green Energy, Water Management): INR 80-120 crore
o Technology Integration (Smart Buildings): INR 30-50 crore

Ongoing Investments:
o Compliance and Certifications (Green Building Certifications): INR 5-10 crore/year
o Marketing and Sales: INR 10-15 crore/year
• Total Capital Outlay (5 Years): INR 300-400 crore

4. Banqueting Services (Nature-Centric Event Venues)

Initial Setup Costs:
o Venue Acquisition/Leasing and Renovation: INR 50-70 crore
o Event Infrastructure and Equipment: INR 20-30 crore
o Marketing and Brand Development: INR 10-20 crore

Ongoing Investments:
o Event Management and Staffing: INR 10-15 crore/year
o Technology Upgrades (Virtual Events, Hybrid Event Tech): INR 5-10 crore/year
• Total Capital Outlay (5 Years): INR 150-200 crore

Total Capital Outlay (5 Years): INR 150-200 crore

Overall Segment-Wise Capital Outlay (5 Years):
• Hospitality: INR 400-600 crore
• Agribusiness: INR 200-300 crore
• Real Estate: INR 300-400 crore
• Banqueting Services: INR 150-200 crore
• Total Estimated Capital Outlay: INR 1050-1500 crore

Capital Allocation Strategy:

• Hospitality: The largest outlay due to the high cost of converting and maintaining ecofriendly resorts, crucial for establishing the brand.

• Agribusiness: Significant investment required to scale sustainable farming and agri-tech, a key growth area.

• Real Estate Development: Focused on converting existing properties to green, sustainable models.

• Banqueting Services: Moderate investment focused on building nature-centric event spaces, complementing the hospitality segment.

This segment-wise capital outlay aligns with the strategic growth objectives and ensures a balanced investment approach across all verticals. It focuses on sustainability, innovation, and expansion in line with Fertile Ventures’ vision.