Godrej Consumer Products to acquire 75% stake in Canon Chemicals

Godrej Consumer Products (GCPL), through its subsidiary, has agreed to acquire a 75% stake in Kenya-based home and personal care firm, Canon Chemicals.

Canon Chemicals, which manufactures petroleum jelly, air fresheners, detergents and candles, recorded a sum of $11m in revenue last year.

India-based GCPL seeks to expand its presence in the Sub Saharan Africa market with the purchase.

The company has been increasing its investments in Africa over the past decade.

The deal is a part of the company’s global strategy that aims to strengthen its presence in three emerging markets, including Asia, Africa, and Latin America across three categories, such as home care, personal wash and hair care.

Godrej Consumer Products managing director Vivek Gambhir said: "Canon has a strong track record of serving consumers in Kenya for over 40 years and we look forward to leveraging its strong brand equity and distribution infrastructure for our business.

"This acquisition reflects our continued commitment to scaling up our presence in Africa and providing African consumers with a wide range of superior quality products at affordable prices. We remain very excited by the tremendous potential of the African market and look forward to further building our business."

In 2010, GCPL acquired household insecticides, air fresheners and baby care products maker, Megasari group, in Indonesia.

GCPL earlier acquired Rapidol, Kinky and Frika in South Africa, and Darling Group in Africa.

In 2010, the company acquired the Issue and Argencos groups in Argentina, and expanding its presence to Chile by purchasing Cosmetica Nacional.

GCPL acquired the UK-based hair and personal care group Keyline Brands in 2005.