GCPL draws-up One Africa plan, eyes 20 pc topline growth

GCPL draws-up One Africa plan, eyes 20 pc topline growth

GCPL's Executive Vice-President (International Operations), Jimmy Anklesaria, told PTI that the company which has already sealed three acquisitions in Africa, now plans to grow and consolidate its footprint on the continent.

"We will be focussing strongly on the African market with our 'One Africa' strategy," Anklesaria said. The company early this year sealed its third acquisition in Africa with the acquisition of Nigeria's Tura, a household name in soaps, moisturising lotions and skin-toning creams.

Prior to this, GCPL had acquired Rapidol and Kinky. When asked of the investment earmarked for the African market, Anklesaria said it was a substantial amount but declined to divulge the figure.

Angola, Mozambique, Zambia, Zimbabwe, Malawi, Kenya, Tanzania, The Democratic Republic Congo, Gabon, Ghana, Nigeria, Botswana, Namibia, Swaziland and Lesotho would be the countries, where the company would focus majorly, he said.

"Africa is more like India with a huge population and emerging markets. People here are very brand-conscious and they prefer Indian products," Anklesaria said, adding "this gives GCPL a huge scope in the African markets."

He also said that the company would be investing 25 per cent of its capital requirements in marketing and brand promotion. The company is also looking at product engineering, better packaging and designing.

With a top-line growth of over 20 per cent over the past three years since its Rapidol acquisition, the company expects a robust growth in the FY 11 trading year.
Rapidol has strong ethnic hair colour brands like 'Inecto' and 'Soflene' with a 92 per cent marketshare.

Kinky, with a 12 per cent marketshare in the hair-attachment category, is the only dry hair manufacturer that has its retail chain with 24 own stores. It is presently, present in three provinces in South Africa and GCPL is planning to take the brand to across the continent.

This fiscal, the company would look at increasing Kinky's marketshare through the expansion of the current footprint through additional own-store models as well as listing in modern retail and Cash and Carry chains.

The home-grown personal-care products manufacturer is also eyeing the Latin American continent and is understood to have zeroed-in a couple of firms for acquisitions.  

Recently, there were reports quoting industry sources that GCPL was in talks with Argentina-based Issue Group Co and Brazilian firm Embelleze for a possible buyout.
When contacted, Godrej Group officials declined to comment.

A few weeks ago, GCPL had bought PT Megasari Makmur Group, an Indonesian insecticide-maker for an undisclosed amount.

The company manufactures and distributes household products, including household insecticides, wet tissues and air fresheners. GPCL said it expects 20 per cent revenues from the Indonesian market.