- **Spice Islands Industries is an Indian company that has abandoned its past entirely. Once a garment exporter, it suspended operations during the pandemic and changed its name in 2024, replacing its textile-focused objects with a mandate to build businesses in food and beverages, hospitality, and electric vehicles.** The recurring approach is visible in every move since: the company enters a sector not by building heavy assets from scratch, but by signing operating leases, management contracts, and joint ventures that let it start quickly with other people’s property. # Business segments Three engines at different stages - a fledgling food-and-beverage platform built on partnerships, a hospitality operation that runs hotels it does not own, and a small electric-vehicle rental activity - each assembled through contracts rather than capital. ## 1. Food and beverages: the partnership-led consumer bet **The company is stitching together a branded food-and-drink portfolio through joint ventures and supply agreements, starting with a functional wellness drink and packaged water.** - **A wellness drink built with a pharma family** - in June 2026, the company formed a joint venture with The Peace Mission Private Limited, represented by a director from the promoter family of Wockhardt Limited, to develop, manufacture and market a fortified beverage under the brand “PEACE ROGERS”. Spice Islands holds a 60% stake in the venture’s funding and profits, and the initial product is a 210 ml functional drink containing Vitamin C, Vitamin D3, Vitamin B12, Spirulina and Oral Rehydration Salts (ORS). - **Bottled water through a contract, not a factory** - the same month, the Board approved a manufacturing and supply agreement with Erva Food and Beverages Private Limited for packaged drinking water, club soda and flavoured soda. Spice Islands holds no shares in Erva and has no special rights over it; the arrangement is a commercial contract, not an acquisition. - **Perfume exports opened a trade leg** - in January 2026, the company received its first international purchase order, worth about USD 166,000, from a UAE buyer for perfumes under the ARMAF brand, marking the start of a global trade vertical in fragrances and personal care. To fulfil it, the company placed a back-to-back order with the brand owner in the UAE - a trading model that ties up no inventory of its own. - **Edible oil is in the charter but not yet on the ground** - the company’s amended objects permit it to manufacture, refine, trade and distribute all kinds of edible oils and their by-products, from sunflower and soybean to vanaspati and de-oiled cakes. No operational activity in edible oil has been disclosed yet, so this remains a permitted future direction rather than a live business. ## 2. Hospitality: running hotels it does not own **The company manages and operates hotel properties across Gujarat under lease and management contracts, earning fees and room revenue without owning the buildings.** - **Leased, not built** - the company takes hotels on operating leases, typically for 11 months to three years, and runs them under its own management. As of mid-2026, its active properties include Patang Family Resort near Sasna Gir, Hotel Ardhya in Dwarka (on a three-year lease from April 2025), Hotel Somprabha in Veraval, and The Ocean Prime in Dwarka - a 26-room property with a restaurant, leased from a charitable trust at a monthly rent of Rs. 3 lakh with a 10% annual escalation. - **Management fees from other owners** - in February 2026, the company signed a management agreement for The Somnath Inn in Devbhumi Dwarka, where it earns a fee of 7% of total revenue plus a one-time setup charge of Rs. 11,000 per room, while the owner pays for statutory compliances, taxes, insurance and major capital works. The contract runs for a minimum of three years, so the company gets a steady fee stream without putting up capital for the property. - **Short experiments, quick exits** - the company’s first hospitality move was a management contract with Hotel Holiday Icon Dev Bhoomi Dwarika in May 2024, followed by an 11-month lease of Hotel Royal Excellence in Udaipur in July 2024. The Udaipur lease was terminated within four months because of “uncontrollable circumstances,” showing a willingness to walk away from properties that do not work. ## 3. Electric vehicles: a small rental fleet **The company rents out electric two-wheelers, likely for last-mile delivery and shared mobility, and treats the vehicles as depreciating plant over eight years.** - **Rental income, not manufacturing** - the EV business earns revenue from hiring out electric two-wheelers, with income recognised when the service is performed. The company’s objects also permit leasing and consultancy, but the disclosed activity is limited to renting. - **Assets on a straight-line clock** - the electric vehicles are classified as plant and equipment and depreciated on a straight-line basis over an estimated useful life of eight years, which means the company expects to use each vehicle for close to a decade. # Group structure and partners **The company is controlled by a single promoter with no subsidiaries, and its operating businesses are built through arm’s-length contracts and one joint venture.** - Fotoset Trading Private Limited is the sole promoter, holding 62.50% of the shares after buying out the original garment-era promoters - the Katre family - in late 2023. - The company has no subsidiary or joint venture company as of the latest annual report date, though the “PEACE ROGERS” joint venture was signed after that reporting period. - The joint venture partner, The Peace Mission Private Limited, is unrelated to Spice Islands and its promoters, and Spice Islands holds no shares in it - the 60:40 profit-sharing arrangement is contractual, not an equity consolidation. - The bottled-water supply partner, Erva Food and Beverages Private Limited, is similarly independent: Spice Islands has no shareholding, no board seat, and no special rights over Erva’s capital structure.