Wipro Consumer Care acquires 3 soap brands from VVF

Bengaluru: Azim Premji-led Wipro Enterprises’ Wipro Consumer Care and Lighting division has acquired three personal wash brands - Jo, Doy and Bacter Shield - from Mumbai-based VVF India, the company announced here on Tuesday.

“It will take 3-4 months to transition everything in house,” Company chief executive for India and SAARC business, Neeraj Khatri, told DH. He sees revenues from the three brands, which collectively clocked Rs 210 crore in FY23, doubling in the next 3 years.

VVF is a large contract manufacturer of soaps, shampoos, conditioners, hand sanitisers and skin moisturisers in India.

This marks Wipro’s 15th acquisition since 2003 and the third acquisition in 12 months. The company acquired Kerala-based Nirapara and Brahmins in December to foray into the packaged snacks, spices and ready-to-cook food segments.

While Wipro did not disclose the deal amount, the company said it has invested over $1 billion in acquisitions so far.

The consumer goods major, which currently enjoys an 11% share of the market in the toilet soaps category, expects these brands to bolster its presence in the premium and sub-premium categories. 

Jo toilet soap is the key brand with a play in North, East and West markets. Doy operates in the premium segment with differentiated positioning while Bacter Shield has an antibacterial range of soap and handwash. 

“These brands complement our existing portfolio and will give us a stronger foothold in the key markets,” Vineet Agrawal, CEO of Wipro Consumer Care and Lighting, and Managing Director of Wipro Enterprises, said.

The three brands will be sold in India, Nepal, Bhutan, Srilanka, Bangladesh and Maldives.

Furthermore, Wipro is eyeing Maharashtra as one of the avenues for its next manufacturing investment, Chief Financial Officer Sachin Bansal told DH. The company currently runs five manufacturing facilities across India - Amalner and Waluj in Maharashtra, Tumkur district in Karnataka, Baddi near Chandigarh and Hyderabad in Telangana.

On the other hand, with rural consumption demand still shy of pre-Covid levels, Khatri anticipates urban India will drive business in the FMCG industry this financial year.

Some other household names  in Wipro’s portfolio include Glucovita, Chandrika, North-West, Unza, Yardley, Bio Essence and Splash Corporation, among others. Santoor, its flagship brand in personal care, is touted to be the second largest toilet soap brand in India.

With a growth of over 17% in its India market, the company breached Rs 10,000 crore in sales last fiscal.