Mumbai-based FMCG firm Godrej Consumer Products Ltd (GCPL) has entered into an agreement with African hair care company Darling Group Holdings to acquire its entire stake in hair extension business in Ghana, West Africa, as per a stock market disclosure. The company did not disclose the deal value.
GCPL had struck an agreement to buy 51 per cent stake in Darling Group Holdings, which operates in 14 countries across sub-Saharan Africa. This was to be completed in three stages geographically with the first phase executed by September 2011.
The Indian firm held the right to acquire 100 per cent in the operations across countries by 2016.
In February this year, GCPL had completed the acquisition of Darling Group's hair extension business in Nigeria by acquiring the balance 49 per cent.
In March it also entered into an agreement to hike its stake in Darling Group Holdings' entities in South Africa and Mozambique by 4.63 per cent to 55.6 per cent each.
The latest acquisition is in line with its intent of gradually scaling up its ownership of the Darling businesses and with this, it will hold complete ownership of the hair extensions businesses of both Nigeria and Ghana.
Darling Group sells hair extension products under the brands Darling and Amigos.
GCPL has been consistently acquiring firms in the hair care business, a segment where it has products spread across the hair colour, hair dye, mehendi and hair oil. In October last year, GCPL also forayed into the hair salon segment with a deal to acquire 30 per cent stake in Mumbai-based premium hair salon chain B:blunt for an undisclosed amount.
Besides hair care products, GCPL is into household and other personal care products. Its brands include Good Knight, Cinthol, Godrej No. 1, Hit, Fairglow, Ezee and Protekt.