Dabur buys three Balsara group companies
28 January 2005
This acquisition will give the company access to oral care brands of Balsara Babool and Meswak besides household products including Odonil (air freshener), Odopic (dish washer), Sanifresh (toilet cleaner) and Odomos (insect repellent).
As per the deal, which was approved by the board of directors of DIL, it will acquire 99.4 per cent stake in Balsara Hygiene Products, 100 per cent in Balsara Home Products and 97.9 per cent in Besta Cosmetics.
The company will seek shareholder approval for the deal by April. Till then, it will assume management control at Balsara.
The acquisition is being funded largely through internal accruals with only Rs23 crore of the entire amount being sourced through debt.
"Balsara has a strong range of brands that fit in well with our brand architecture and growth plans in India and abroad. Its range of oral care products will fit in largely under the Dabur brand name, further strengthening our existing position as the third largest player in the oral care market in India," Sunil Duggal Dabur, CEO, India told reporters at a press conference yesterday.
On whether the company''s appetite for acquisitions was satiated, he said that DIL was open to more acquisitions in areas where the company already operates personal care, healthcare, foods and now household care.