Dabur India, the consumer products major, today entered into an agreement with Mumbai-based Ajanta Pharma to acquire the latter’s over-the-counter (OTC) energiser brand, '30-Plus'.
Dabur didn’t disclose the size of the deal, saying it had signed a non-disclosure agreement with Ajanta. Launched in 1990 as a herbal energiser capsule, 30-Plus was a key brand for Ajanta, positioned for males in the 30-plus age group. With this acquisition, Dabur India is aiming to further strengthen its position in the OTC category in the coming years.
P D Narang, group director, Dabur India, said: “Our OTC category is growing at a much faster rate than the industry growth trend. Our Chyawanprash alone registered about 30 per cent growth last year. In the coming few years, our focus would be on the healthcare and personal care categories. We are looking at both organic and inorganic growth in both these categories.”
Dabur’s turnover last year was about Rs 4,100 crore, with Rs 1,000 crore contributed by the OTC healthcare category. The industry estimate for the OTC healthcare market is about Rs 15,000 crore, growing at 10 per cent per annum. Of this, the energisers and nutraceutical market comprises about Rs 300 crore. This market has been growing at a double-digit rate in recent years.
Narang added, “We are in talks with a few more companies for acquiring them to increase our product portfolio in the OTC category. These would be announced as and when they fructify. Until recently, Dabur was known more for its ayurvedic OTC products like Chyawanprash and Hajmola. We are now increasingly focusing on developing our modern OTC portfolio, with new innovations and acquisitions this year.”
Dabur launched a line of new products recently, such as ‘Nutrigo’, a supplement powder, in December and ‘Honitus’ tablets for cough and cold in January this year, to strengthen its position in the OTC category.
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Said Narang, “We have also identified new categories like women healthcare, gastro and heart health. We are working on it and would be coming out with new relevant OTC products soon in the market.”
On marketing strategy, he said, "As of now, it's too early to comment on the marketing plans. We have just signed the agreement today and look forward to ramping our marketing and communication initiatives from the next few days. We have close to a million direct retail outlets and six million indirect retail outlets till date. We will sell this new brand, 30-plus, across outlets pan-India."