The company made this announcement on Saturday, 21 January 2012.
Meanwhile, the BSE Sensex was down 15.54 points, or 0.09% to 16,723.47.
On BSE, 83,156 shares were traded in the counter as against average daily volume of 25,140 shares in the past one quarter.
The stock hit a high of Rs 443.80 and a low of Rs 415 so far during the day. The stock had hit a 52-week high of Rs 463.95 on 25 July 2011. The stock had hit a 52-week low of Rs 325.20 on 4 February 2011.
The stock had underperformed the market over the past one month till 20 January 2012, gaining 3.36% compared with the Sensex's 10.31% rise. The scrip had also underperformed the market in past one quarter, falling 1.78% as against 1.17% fall in the Sensex.
The large-cap FMCG company has an equity capital of Rs 32.36 crore. Face value per share is Re 1.
Godrej Consumer Products (GCPL) said that Cosmetica Nacional (CN) has a strong portfolio of brands in the hair care and color cosmetics segments in Chile. With its brands well positioned across income and age levels, Cosmetica Nacional enjoys greater than 30% market share (by volume) in the hair colorant space in Chile, GCPL said in a statement. With this move, GCPL continues to expand its focused presence in emerging markets in line with its global 3 x 3 strategy, the company added. CN had sales of about 36 million dollars in the year 2011 and enjoys EBITDA margins of about 20%, Godrej Consumer Products said in a statement.
Commenting on the partnership, Adi Godrej, Chairman, GCPL, said: Cosmetica Nacional is a natural addition to our earlier acquisitions - Argencos and Issue Group - in Latin America. The Chilean business will strengthen our presence in the region and set us on a firm footing to achieve our plans for Latin America. We believe that the Latin American market has strong growth potential in household and personal care and that this partnership positions us very well to further establish our presence in the region and take advantage of the future growth opportunities. With its low inflation at 3%, GDP growth of more than 5%, and an open foreign investment regime, Chile has been rated as the country with best business environment in Latin America (EIU 2009).
Mr Godrej further said, The Garcia family has done a fantastic job in building the Cosmetica Nacional business to these heights. We hope that we can partner with them and their professional management team to take the business to the next level and introduce new categories from the GCPL portfolio into Chile and other geographies in Latin America. Exposure to this market will also help strengthen our technology and product development funnel in India.
This acquisition represents another important step towards GCPL becoming a leading emerging market multinational and dovetails well with our global 3 by 3 strategy -- presence in 3 continents -- Asia, Africa and Latin America through 3 core categories - home care, personal wash and hair care. Over the last few years, we have been following a very disciplined and focused approach to identifying acquisitions that represent a strong fit with our business, both strategically and operationally, Mr Godrej added.
Commenting on the partnership, Fernando García, CEO, Cosmética Nacional, said, We are delighted to establish this strategic alliance with Godrej Consumer Products, a leader in emerging markets in household and personal care. We believe that together we will be able to scale new heights in the LatAm region. We are proud that our tremendous efforts over the last three decades have been recognized by Godrej, with whom we also share the vision, values and the way of doing business.
On a consolidated basis, Godrej Consumer Products' net profit rose 40.6% to Rs 167.10 crore on 35.9% growth in net sales to Rs 1344.06 crore in Q3 December 2011 over Q3 December 2010. The results was announced on Saturday, 21 January 2012.
Godrej Consumer Products (GCPL) is a major player in the Indian FMCG market with leadership in the hair color and fabric care categories. It is also one of the largest marketers of toilet soaps in the country with leading brands, such as Cinthol, Godrej Fairglow and Godrej No.1. GCPL is also the market leader in India in the Household Insecticides market with its brands GoodKnight, HIT and JET. The acquisition of the pan-African Darling Group, and Rapidol and Kinky in South Africa have given GCPL leading positions in the fast growing African ethnic hair care market. As part of increasing its global footprint, GCPL recently acquired Tura, a leading beauty brand in West Africa, Megasari Group, a leading household care company in Indonesia, and Argencos and Issue Group, leading hair colorant companies in Argentina.