Bangalore, July 6 -- Azim Premji-led IT and FMCG major Wipro announced acquiring of Singapore-based personal care firm Unza Holdings Ltd for $246 million in an all-cash deal.
Unza, which recorded revenues of Rs 683.3 crore in the last financial year, has 48 brands, such as Enchanteur, Safi, Romano, Izzi, Vigor and Maxkleen.
Unza has a headcount of 4,000 and five manufacturing plants with two in Malaysia and one each in Vietnam, China and Indonesia, Wipro Consumer Care and Lighting's President Vineet Agrawal said.
Unza also has 48 brands and a presence in 58,000 retail outlets. The company had revenues of Rs 683.3 crore in FY07. Unza is a strong brand in Malaysia. Agarwal added Unza is growing at 14% and margins are at 12%.
The deal would be funded through internal accruals and the transaction is expected to be closed by the end of this month. Revenues from the acquisition would start flowing in from the current quarter (July-September) itself, Agrawal said.
As much as 50 per cent of Unza's business comes from Malaysia and the rest from markets such as Indonesia, Vietnam, China, Singapore and Nigeria. He said there would be no margin dilution following the buy-out because Wipro Consumer Care and Lighting business' operating margin was 12.5 per cent, while that of Unza is 12 per cent.
New York Stock Exchange-listed Wipro's consumer care and lighting division clocked revenues of close to Rs 800 crore in 2006-07. Agrawal said there would not be any management changes in Unza as it is being run professionally.
Wipro would conduct consumer test on introducing Unza brands in India and would also look at using Unza product formulations under its own brand of Santoor.
