The once-famous ayurvedic skincare and oral care brands, Vicco Turmeric and Vicco Vajradanti respectively, are reportedly up for sale. According to industry reports, the Maharashtra-based Vicco Group has mandated Enam Securities to scout for a buyer. However, the company has not yet given a confirmation on it.
A consumer products industry veteran said that the Vicco management had sought Enam’s advice on whether to sell off the brands or list the company on stock market to get a better valuation for its brands. Apparently, Dabur and Emami, showed interest in the Vicco brands given their herbal portfolio. “We are doing an internal review. We would be interested as Vicco’s brands complement our herbal portfolio,” says P D Narang, Group Director and Head of M&A, Dabur India.
Founded in 1952, the Vicco group fell prey to contemporary times, since the company failed to modernise its brands. Brand experts say that Vicco may not be able to command a high valuation as it failed to keep pace with consumer trends, though it continues to hold brand recall and strong equity. Today, the group’s annual turnover is estimated at about Rs400 crore, with Vicco products accounting for four percent of the country’s toothpaste market.
Posted on: 24.11.2010