In a strategic move to expand its premium product portfolio and tap emerging markets, Wipro Limited has inked an agreement to acquire some of the overseas businesses of the personal care brand Yardley for dollar 45.5 million.
The company has signed an agreement with UK-based Lornamead Group, which owns the Yardley brand, to acquire its business in Asia, the Middle East, Australasia and certain African markets, Wipro said.
"This transaction is another jewel to the Wipro Consumer Care and Lighting (FMCG arm of Wipro Limited) following its acquisition of Unza in 2007," Vineet Agrawal, President, Wipro Consumer Care and Lighting told media here today.
The transaction is expected to complete by this mid-December, he said, adding Lornamead would retain the Yardley business in Europe and America.
"It (acquisition) would help us to dramatically grow our presence in Middle East, which accounts for 70 per cent of Yardley's revenue," he said.
Wipro hopes to grow the current 13-to 17-mn dollar business in Middle East to 30-35 mn USD business, he said.
"Yardley brand complements our portfolio. In terms of pricing it was 50 per cent more than Enchanteur a premium product, which came in with the Unza acquisition," Nagender Arya, Regional Director, Wipro Consumer Care and Lighting, said.
Yardley is a global brand in personal care category offering fragrance; body wash and skin care products.