50.97% share sold to Jyothy Laboratories
German personal care giant Henkel has announced that it has sold its majority 50.97% stake in Henkel India to Mumbai-based consumer goods company Jyothy Laboratories in an all-cash transaction which amounted to €18m.
In March of this year Jyothy Laboratories had acquired separate stake of 14.9% from another party, and the new deal will mean it has a 65.8% controlling stake.
Henkel says its sale of the majority stake in Henkel India is in line with its strategy of focussing on its core businesses and phasing out marginal position, as Henkel’s local brands have previously lacked size in order to be able to effectively compete with competitors. However Henkel will still be present in the Indian market with its international brands Fa and Pril which will be licensed to Jyothy Laboratories.