We all begin our day with a toothbrush, but how many know that the Oral-B toothbrush, a brand used by millions, is actually made in Chennai by the Rayala Group for Procter & Gamble (P&G). Rialto Enterprises, the manufacturing and engineering division of the Rayala Group, plays a crucial role in the production of Oral-B toothbrushes under licence from P&G. The company turns out 650 million toothbrushes a year.

How did this 76-year-old family-owned company begin its journey? The Rayala Corporation was established in 1948 by Rajagopal Naidu. It first focused on automotive spare parts and office equipment. The group was named after the Rayalaseema region in Andhra Pradesh, where the family originated. It evolved through generations, with each generation strategically selecting businesses aligned with its interest. Over time, the group has diversified across a wide range of industries, including automobiles, typewriter manufacturing, vehicle financing, white goods, contract manufacturing of toothbrushes, and real estate.

Foundation laid in 1921

Although the company officially began its journey in 1948, its foundations were laid as early as 1921. “My grandfather Rajagopal Naidu’s first venture, Rajagopal Motor Works, was started in 1921,” says Ranjit Pratap, chairman and managing director, Rayala Corporation Pvt. Ltd. The initial investment for the business was ₹5,000 and its first office and plant were established on a 6,000-square foot facility in Chennai. Before commencing his entrepreneurial journey, Naidu worked for a short while at Simpsons and for a few years at Addison and Co, in the automobile mechanical division.

“The initial products were fire pumps assembled for Addison and Co. Subsequently, he diversified into the bus and truck body building in the mid-1930s,” Mr. Ranjit Pratap says.

He applied for a south Indian dealership for British and American cars sold by Peninsula Motor Corporation in Kolkata. Subsequently, during the freedom movement, he gave up the distribution of British cars and concentrated on American cars and trucks. He also started a bus service from Tirupati to Tirumala in 1940s. And later on, he entered the commercial vehicle financing.

Scion steps in

From 1942, the company ventured into typewriters. In 1944, Rajagopal Naidu’s son M.R. Pratap joined the business and was tasked with overseeing the marketing, including the sale of cars, trucks, and typewriters. In 1947, following India’s independence and the cessation of imports, M.R. Pratap turned his focus to typewriter marketing and took the initiative to begin manufacturing typewriters in India. The typewriters were produced in collaboration with the Swedish company Facit AB and were branded as HALDA. They came in 23 different vernacular languages. Apart from typewriters, M.R. Pratap was the first to make calculators and adding machines in collaboration with Facit AB.

Interestingly, Engine Valves Limited, one of the Chennai-based Rane Group’s earliest ventures into manufacturing, had actually been started by the Rayala Group. Rajagopal Naidu’s early death caused the project to slow down, and it was sold to L.L. Narayanan of Rane.

A joint venture

In the late 1970s, Mr. Ranjit Pratap entered the business. “We were the first to make gas-filled shock absorbers for automobiles and two-wheelers. We started a joint venture to make specialised shock absorber for office-chairs with height locking facilities. It was introduced in Godrej chairs, and today, it is a significant concept for all ergonomically designed office chairs,” he says.

The group was the first to make epilators for Braun, Germany, for the export and domestic markets. It expanded its portfolio to include hair-dryers, mixers and grinders, and personal grooming products under the brand name Braun. When Gillette was taken over by P&G, the company wanted to consolidate its Oral B toothbrush manufacturing in India, and Mr. Ranjit Pratap’s factory was identified for this purpose. With the toothbrush becoming a success, the manufacturing unit started scaling production.

German links

All of Mr. Ranjit Pratap’s businesses were associated with the Germans and Germany. “I was fascinated with German products — their cars and cameras. Their technology is robust, long-lasting, and innovative,” he noted.

Currently into the fourth generation, the group comprises four companies: Rayala Group, Rialto Enterprises, Carr Lane, and Rialto Engineering. Rialto Enterprises has two subdivisions: one makes the toothbrushes and the second is into sheet metal press shop for the automotive industry.

Rialto Engineering Pvt. Ltd. was formed to manufacture high precision light engineering products. It also makes parts for the Indian defence industry and special parts for the small arms factories. Carr Lane is predominantly into aerospace engineering and supplies products to large aircraft companies around the world.

Agro products

The group has also diversified into agro products, acquiring farms to grow cashew nuts, coconuts, areca nuts, and mangoes. It has tied up with Lorenz Switzerland AG for processing quality nuts and packaging them for export.

Mr. Ranjit Prathap says, “I have a strong passion for agriculture, which has led me to explore opportunities in the food industry. We’ve ventured into growing cashew nuts, mangoes, and coffee, the latter being a personal hobby of mine. I have a deep appreciation for nature.” “Currently, our turnover stands at ₹700 crore, and I envision the group achieving a steady growth of 12%-15% over the next few years,” he says.