Raymond Group Acquires Ansell's stake in Brand Kamasutra
By Nabamita Chatterjee | Vjmedia Works | August 23, 2017
Raymond FMCG Business currently has a strong retail presence through 0.25 million retail outlets including 90,000 pharmacies in the country and exports to South East Asia, Middle East and Africa. Given the strong hold in Institutional sales, the business is a preferred supplier to over 100 Institutions in the country.
Raymond Group - the leading manufacturer, marketer and retailer of suiting fabrics & ready to wear apparel, today announced the acquisition of Ansell’s stake in a joint venture entity known as JK Ansell Pvt. Ltd. With this transaction, the Sexual Wellness and Personal care business will continue to remain in JK Ansell which will become a wholly owned subsidiary of J.K. Investo Trade (India) Limited (“JKIT”), a Raymond Group Company. As per the proposed deal, JKIT sells its stake in the gloves business to Pacific Dunlop Holdings (Singapore) Pte. Ltd. (Ansell Group Company). This acquisition will pave the way for Raymond to further scale up the FMCG Business and unlock the immense potential of Brand KamaSutra globally. Raymond announced the formation of its FMCG group last year with a vision to be a player of choice amongst the new India, offering Premium products for Personal and Home Care categories. Commenting on this development, Gautam Hari Singhania, Chairman & Managing Director, Raymond Limited said, “As a part of our Raymond Re-Imagined journey, scaling up and creating a strong FMCG business is an important driver of value creation for the group. This acquisition of Ansell’s 50% stake gives us the full ownership of Brand KamaSutra that strengthens our FMCG portfolio and is a step towards value creation.”
Giriraj Bagri, President - FMCG Business, Raymond Limited added, “With this acquisition combined FMCG business is expected to be Rs 800 crore consumer value in FY18. This gives us the scale and opportunity to rejuvenate our FMCG brands and strengthen sales & distribution network. Having outlined a detailed roadmap, Brand KamaSutra is poised to become Top 5 global brands in the Sexual Wellness category.” Raymond Group forayed into the FMCG business in the year 1964 through its subsidiary JK Helene Curtis Ltd. and is instrumental in launching various products in the male grooming space such as Park Avenue range of fragrances, soaps, shampoos, shaving foam and gel and a host of Homecare product offerings from Premium. Commenting on this development Sanjay Bahl, Group CFO, Raymond Limited said, “This acquisition allows us to structure our FMCG businesses to unlock cost and revenue synergies with our other company JK Helene Curtis leading to a profitable growth.”