 "Cipla")
Cipla Health Limited (CHL), the wholly-owned subsidiary and consumer healthcare arm of Cipla, will acquire the cosmetics and personal care distribution and marketing business of Ivia Beaute Pvt Ltd, including the latter’s brands Astaberry, Ikin and Bhimsaini, on a worldwide basis for Rs 130 crore, according to a regulatory filing by the company.
CHL has signed a business transfer agreement (BTA) for the purchase of Ivia Beaute. The move is aligned with Cipla’s focus on enhancing its consumer healthcare and wellness portfolio, the company said on Monday.
CHL is expanding its foothold in Tier II-VI towns and bolstering its position in the beauty and personal care sector, targeting India’s aspirational consumers.
“With a brand legacy of over 16 years, Astaberry caters to consumers through a wide range of unique products to help them address their skincare needs. These brands complement CHL’s offerings in the skin care segment and enrich the portfolio with trusted and effective solutions for consumers,” the company said.
On the cost of acquisition, Cipla said it will be Rs 130 crore on the closing date and Rs 110 crore contingent upon achievement of certain financial parameters (milestones) for the next three years as mentioned in the BTA.
“The transaction is expected to be completed within 60 days from the signing of BTA or such other date mutually agreed between the parties in writing and shall be subject to successful completion/ waiver of the conditions precedent and closing conditions as mentioned in such BTA,” it added.
The transfer of the business undertaking is subject to the fulfilment of certain conditions mentioned in the BTA. Once these conditions are met, CHL will commence product distribution and marketing.
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Shivam Puri, chief executive officer and whole-time director of CHL said the move not only solidifies the company’s presence in the beauty and personal care sector but also builds on its existing footprint in the Tier-II to VI cities. “Our target consumer base is discerning and seeks variety, especially when it comes to new brands in personal care. Integrating Astaberry, Ikin, and Bhimsaini into our portfolio seamlessly complements our existing offerings across key over-the-counter/ consumer healthcare categories, empowering us to deliver comprehensive solutions that cater to the everyday needs of our consumers,” said Puri.
CHL has created over 20 strong brands within the portfolio across all key categories: Smoking cessation (Nicotex), cough and cold therapies (Cofsils and Naselin), pain care (Omnigel), analgesic (Paracip), oral rehydration therapy/ beverages (Prolyte), vitamins, minerals, and supplements (Maxirich), topical antiseptics (Cipladine), anti-fungal solutions (Clocip), weight gain (Endura Mass), mother, child and feminine hygiene (Mamaxpert and Evexpert), and skin and hair care (Cetafresh, Rivela, and Tugain). Most of these brands have attained leadership positions in their respective categories. The consumer healthcare subsidiary of Cipla was incorporated in 2015.
[With agency inputs]
