Emami eyes healthcare acquisitions in the UK, South Africa

02 Aug 2008

In order to enhance its markets in African and Europe in personal care products, herbal and cosmetic products maker Emami Ltd has entered acquisition negotiations with UK and South African companies.

Emami says it is looking at companies with a manufacturing base, its own portfolio of brands and distribution network.

With 10 per cent of its annual revenues coming from exports to the former USSR Commonwealth of Independent States and from West Asia, Emami expects its proposed acquisitions to strengthen its market share.

Speaking at the launch of an advertisement of its pain balm brand, Himani Fast Relief, Aditya Agarwal, director, Emami Group, said, ''The product range of these companies are more or less the same to what Emami has and they need not be big acquisitions.''

The company is in the process of launching a baby-care line under brand Healthy & Fair with products like powder, oil, soap and cream.

The company also plans to invest Rs150 crore on brand building and product development.

The parent company Emami Ltd which had a sales turnover of Rs600 crore last year is investing Rs40 crore at Guwahati and Rs13 crore at its Kolkata manufacturing unit.

Paper, edible oil, cement and real estate being part of their business activities, and brands such as Navratna and Boroplus being very popular their aim is to enhance the size of Navratna to Rs300 crore from the present Rs200 crore, and Boroplus, to make it to a Rs200-crore brand by 2011.