Nepalese Conglomerate Business Segments

asha.inc/blogs/nepalese-conglomerate-diversification-similarities

The conglomerates of Nepal are diversified businesses that operate in multiple industries
and sectors. For example, they may have interests in areas such as manufacturing,
trading, banking, hospitality, and real estate, Meaning they have a presence in multiple
industries and sectors.

The conglomerates of Nepal, including CG, IME Group, Shanker, Bishal Group, Golchha
Group, etc., are all involved in various industries and sectors. CG, for instance, has
interests in sectors such as FMCG, banking, energy, education, and real estate, while IME
Group operates in areas such as remittance, trading, and healthcare. Similarly, Shanker
has businesses in trading, manufacturing, and services, while Bishal Group has interests
in sectors such as hospitality, real estate, and trading. Lastly, the Golchha Group has
businesses in trading, manufacturing, and services but they have several similarities in
terms of their business operations in the Automobile & Financial sector.

Most of the conglomerates in Nepal are family-owned businesses, and the family
members are actively involved in the day-to-day operations of the company & have a
significant presence in Nepal's economy, are innovative and entrepreneurial.

Conglomerate in Nepal
Nepal is a relatively small and agricultural country. On top of being a small nation, Nepal
is also a landlocked nation with few natural resources to exploit. That said, Nepal has a
high potential for local goods and products. Still, this nation of mountains imports most
of its required goods and raw materials.

However, despite Nepal being a small nation and being somewhat dependent on imports
for most of its products, it is home to a wide range of companies and industries. Within
this group of companies and conglomerates, a few have grown and managed to stand
above the rest. These conglomerates that stand above the rest are among some of the best
conglomerates in Nepal.

So, let’s talk about some of the best major conglomerate companies in Nepal. But before
we begin, what even is a conglomerate?

What is a Conglomerate?
In simple words, a conglomerate is a corporation of different business companies that
owns a controlling stake in several smaller companies that conduct business separately
and independently. In a conglomerate, a larger company owns a controlling stake in
smaller companies. The smaller companies operate in their field and are often

1/11
independent of each other. The formation of a conglomerate can happen in many ways,
but two of the most common methods of formation are the merger of two or smaller
companies into one and the acquisition of a smaller company by a larger one.

Some of the Major Conglomerates in Nepal

Even though Nepal is a landlocked country that is mostly dependent on imports, some big
conglomerate companies in Nepal control a wide range of markets. The list of
conglomerates in Nepal is indeed long, so here we will talk about five of the major
conglomerate companies in Nepal.

Chaudhary Group (GG)

Chaudhary Group (GC) is one of the most recognizable

conglomerate groups in Nepal. Chaudhary Group,
publically known as CG Group, is a multinational
conglomerate group with over fifteen thousand employees.
Established in 1935 with its headquarters in Lalitpur,
Nepal, the Chaudhary Group is involved in many sectors of
products and services, including FMCG, automobile,
financial services, infrastructure, real estate, and hospitals,
along with communication and Education. Among its many products, some of its most
notable products and services are Wai Wai Noodles and the distribution of Suzuki Motors.

Notable Products and Services

2/11
Although Chaudhary Group has extended its reach in a wide range of industries, it is most
notably known for its production of Wai Wai noodles and distribution of Suzuki Motors.
Wai Wai is a leading brown instant noodle in Nepal with over 20 flavors and has the
highest share in the noodle market in Nepal. Additionally, CG provides the largest service
and spare network for the distribution of Suzuki Motors and is the highest-selling car
brand in Nepal.

Major Milestones
It was first established in 1985
Started first International noodle manufacturing unit expansion in 2002
Achieved a portfolio of over 160 companies in 2020

Notable Product’s/Service’s Key Success Factor

Wai Wai Noodles:

1st mover advantage, Nepal’s first instant brown noodles with 20+ flavors
Product expansion with predatory pricing
Mama, Golmol, Rintin

Suzuki Motors:

Value for money

It has the highest mileage in all price car segments
It has the highest resale value among all the brands
Affordable maintenance cost and economic spare parts
Largest service provider & spare parts network

3/11
IME Group

IME Group of conglomerate is Nepal’s remit first remittance

company with the establishment of international offices in
over 25 countries. The IME group of business companies
primarily focuses on Commercial Banks and remittances; the
IME Group also provides services regarding Automobiles,
Tourism, Trading, IT, Energy, and Insurance. Established in
2001, this conglomerate houses over 5 thousand employees
in its various sectors.

Notable Products and Services

As we mentioned earlier, the primary product/ service of IME conglomerate group is in
the field of remittance, and as such, it should not be a surprise that one of its most notable
services is financial services. The key success factor for its financial service is its coverage
and its high global network. This conglomerate of Nepal has around 22% share in Nepali
remittance. Besides the financial services, IME group also has its root in the distribution
series of IME motors which includes the distribution of products such as School buses
and Trucks while providing great after-sales services.

Major Milestones

Gained its first merger with baking companies on 2012

4/11
 Started Leyland Distribution in 2016
Achieved over 1 million downloads in the IME pay app in 2020

Notable Product’s/Service’s Key Success Factor

IME Remit Ltd

A highest global network having an office in 25+ countries

200+ countries' service network
The highest payout locations having 35K+ stand out as the largest coverage in Nepal
Providing door-to-door transfer services in rural areas

IME Motors:

School buses
Known as a long durable engine
Known for defense vehicles which are usually used by Nepal Army
The truck supports high-altitude bases/clearance
Easy maintenance services & spare parts
Mobile services vans and as well a tie-up with Local Mechanic Garage

Shankar Group

5/11
Established in 1979, the primary focus of Shakar Group is in
the field of construction. As a market leader in the steel and
Cement industry in Nepal, Shankar Group is undoubtedly
one of the major conglomerates in Nepal. With over fifteen
thousand employees spread across its numerous sectors and
industries, this conglomerate has its hand in industries such
as Mining and Manufacturing, distribution of automobiles,
financial services, real estate, and hospitality. Regardless, its
primary focus remains in the field of construction
industries. Shankar Group is Nepal’s biggest investor in the
steel and cement industry.

Notable Products and Services

As a leader in construction and manufacturing, Shanakr Group is home to some of the
most well-known products in these service industries. Some of its most notable products
are Jadagamba Steels, Jadgadamba Wires, Jagadamba and Subhashree Cements, and
Surya and Riddhisiddhi Cement. These are household names in the world of construction
materials.

Major Milestones

Established Jagadamba Steels in 1994

Establishment of Jagadamba Cement in 2001
Gained a Portfolio of over 40 companies in 2021

Notable Product’s/Service’s Key Success Factor

Jagadamba Steel:

1st mover advantage, Nepal’s first structural steek & galvalume sheet manufacturer
It has reduced the import
Nepal’s first and only steel company stands as International Standard Products
Honor with BIS (Bureau of Indian Standard) for Fe 500 & Fe 500D Grade
rebar

Cement:

Jagdamba OPC Cement, highest selling in Nepal since 2001

Known for mining the finest quality of limestone (53 Grade) in its plant
High production capacity
Has the ability to reduce price with a competitive market price

6/11
Vishal Group

Vishal Group of Conglomerate Company is one of the

leading names in the FMCG companies in Nepal.
Established in 1949, this group of conglomerate companies
in Nepal houses over twenty thousand employees across its
many sectors and is one of the largest importers of international FMCG brands in Nepal.
Besides being the largest importer of FMCG foods and beverages in Nepal, Vishal Group
is also well known for its investment in Automobiles, banking, manufacturing, hospitality,
agriculture, education, real estate, and more. That said, the primary focus of this
conglomerate still lies in the Fast Moving Consumer Goods sector.

Notable Products and Services

Vishal Group is most noted for being one of the biggest, if not the biggest, distributors of
FMCG foods and beverages in Nepal. Some of the brands of FMCG that Vishal Group of
conglomerate imports are P&G, GSK, Godrej, Kellogg’s, Britannia, and Amul.
Additionally, Vishal Group is also well known for being the manufacturer of Arna, Yeti,
Kingfisher, and Shikhar beers. These beers are among the anticipated rising brands in
Nepal.

Major Milestone

Diversified into imports and distribution in 1960

Started partnerships with International brands in 1990

7/11
 Became a distribution vertical with over 50 international brands.

Notable Product’s/Service’s Key Success Factor

FMCG (Fast Moving Consumer Goods):

1st mover advantage, Pioneer distributors of International brand

Distributors of more than 40+ Int’l FMCG International brands
High-quality products having high numbers of distribution networks
Stands as a flagship FMCG company in Nepal

Yeti Brewery:

Heavily invest & engaged in SMM (Social Media Marketing)

Attracted youths through music video marketing, E.g. Video content
challenges with a cash prize

Golchha Group

Established in 1937, the Golchha Group is one of the oldest and most successful
conglomerate groups in Nepal. This conglomerate is a leader in two-wheelers distribution
in Nepal and is among the leaders in electronics and automobile distribution. With over
two thousand employees spread across multiple services industries, Golchha Group is
undoubtedly one of those that have both the required quantity and quality of human

8/11
resources for it to be among the leaders of conglomerate
groups in Nepal. This group of industries has its influence
on the Automobile, electronics, finance, and bioscience,
among other sectors.

Notable Products and Services

Golchha Group is among the few authorized dealers of Samsung and Bajaj Motorcycles in
Nepal. The two products that this company distributes are among two of the highest-
selling brands in their respective field.

Major Milestones
Established its electronic band named “Himstar” in 1988
Started distribution of Bajaja Two wheelers in 1998
Became an authorized distributor of Samsung Products in 2001

Notable Product’s/Service’s Key Success Factor

Samsung:

Popularly known as a high-quality & durable products

Parts easily available
Adequate experience in the home appliances industry
Known as one of the best & oldest players in Nepal
Best customer service with 40+ service centers

Bajaj Motorcycle:

Largest Service provider & Spare parts network

Having more than 200+ servicing points
Known for one of the most easily available economic spares parts & low
maintenance cost brands in Nepal

9/11
Nevertheless, Nepal is a small nation that relies mostly on imports for most of its modern
conveniences. That said, despite being a landlocked nation and relying on imports, this
nation is also home to some well-known conglomerate groups. Here we researched five of
such well-known and reputable conglomerates in this nation. That said, we understand
that this is not an exhaustive list of all the major conglomerates in Nepal. Still, we hope
you found this helpful.

You can also visit our official LinkedIn Page for more updates, market research firm
in Nepal.

FAQ
Q: What are the top three industries in Nepal?

A: The top three industries in Nepal are:

Agricultural industry
Forestry industry
Power and resources industry

Q: What type of Company is Chaudhary Group?

A: Chaudhary Group is a multinational conglomerate company in Nepal that is involved

in many sectors, including financial services, consumer goods, education, hospitality, and
more.

10/11
Q: Do the conglomerates in Nepal family-owned businesses?

A: Yes, Mostly the conglomerates in Nepal are family-owned businesses.

11/11