 "Mahendran, Godrej, DND")
Six months after Godrej Group chairman Adi Godrej accused former GCPL MD A Mahendran of an ethical and legal breach following plans of the latter to step into household insecticides, Mahendran Thursday launched his mosquito repellent brand DND.
In September this year, GCPL had dragged Mahendran to court, accusing him of misusing classified information for launching household insecticides under Global Consumer Products, the Goldman-Sachs-and-Mitsui-backed venture of the fast moving consumer goods veteran. GCPL has market leader Good Knight and Hit in its household insecticides portfolio, which gives the firm around 47-48 per cent of its revenue.
Mahendran, in an interaction with Business Standard, said the matter was sub-judice. "I had made it clear in June that I had no non-compete agreement with the Godrej Group and hence could not be prevented from stepping into household insecticides. I was surprised with the reaction of Mr Godrej back then and we are responding to whatever they have to say appropriately," Mahendran, considered an authority on household insecticides, who launched and established Good Knight mosquito repellents in India, said.
Global Consumer Products, which began in 2014 with a range of beverages and confectionary products, started work on household insecticides about a year ago. "I have seen the household insecticide space evolve over the last three decades. Not much has changed since I launched Good Knight back in 1987. I think it was time to raise the bar, and look at targeting not only protection, but also prevention of mosquitoes from entering living spaces. We have attempted to do that with the new range," he said.
Priced at a premium of about 15-20 per cent to regular mosquito repellents, Mahendran said that his firm, which planned to take DND to international markets, was working on an affordable variant. "We could likely launch the affordable variant in a year, by which time the first product, targeted at the mid-premium market in India, would make inroads here," he said.
Global Consumer Products hopes to break-even in a span of three years riding categories such as household insecticides, beverages, chocolates & confectionary and personal care, Mahendran said. Investors Goldman Sachs and Mitsui have pumped in over Rs 500 crore into Mahendran's venture so far, half of which has been utilised, he said.
