After increasing its shareholding in hair care firm Darling Group Holdings in Mozambique and South Africa in March, Godrej Consumer Products (GCPL) is planning to increase its stake in two more geographies in Africa, where it currently operates with Darling Group.
Darling Group has a presence in 14 countries across sub-Saharan Africa.
''In line with GCPL's intent to scale up its ownership of the Darling businesses, we are increasing our stakes in two more geographies soon," said Vivek Gambhir, managing director of GCPL.
In June 2011, GCPL had acquired 51% in Darling Group for over R500 crore. In March this year, the company increased its shareholding in Darling’s South Africa and Mozmbique businesses by 4.63 %.
''We have increased our stake beyond 51% in two geographies — Mozambique and South Africa — in March this year,” said Gambhir. The company expects to have full control of Darling’s business over 2-3 years.
With revenues of R7,583 crore in FY14, GCPL is scouting for acquisitions both domestically and globally. Its primary focus is on acquisitions in Indonesia and Africa.
''Our focus is on acquiring hair care and home care brands in these countries,” he said.
In Q4FY14, GCPL's rural business grew 20%, boosted by increased rural penetration. Enthused by this growth, GCPL is gearing up to launch a slew of rural activation programmes to sustain the momentum.