Mumbai: Godrej Consumer Products Ltd said on Monday it plans to launch its Indian and South African products in west Africa, followng its acquisition of Nigerian personal care company Tura.
“It is an important strategic acquisition for us. It will help us expand our businesses in South Africa into Nigeria and we may be able to launch some Indian products in the toilet soap field there as well,” chairman Adi Godrej said on Monday.
Godrej Consumer had announced the acquisition, from Nigeria’s Tura Group, for an undisclosed sum on Saturday.
The Indian manufacturer of soaps, deodorants and hair colour, among other products, made a couple of acquisitions — Rapidol and Kinky hair care brands — marking its entry into the South African market over the last two years.
“It will take us between 60-90 days to complete the (Tura) acquisition,” Godrej said, without revealing the deal size, citing a confidentiality agreement with the seller.
The current management of Tura will continue to lead the business, he added.
In December 2009, the company’s board had approved raising up to Rs30 billion through debt and equity for mergers and acquisitions, Godrej said, adding some of these funds were employed for the Tura buyout.
The African business accounts for nearly 8% of Godrej Consumer’s consolidated overseas revenue of 20%.
The firm will continue to scout for buys in Africa, Asia and Latin America, he added.
Shares of the company, which rose over 4% in early trade, ended 1.13% up at Rs274 in a flat Mumbai market.