Godrej Consumer Products Ltd (GCPL) has announced the acquisition of the remaining 50 per cent stake in Godrej SCA Hygiene Ltd from its joint venture partner SCA Hygiene Products AB, Sweden.
After the annoucement, the JV owner of the Snuggy brand of baby diapers, will become a 100 per cent subsidiary of GCPL. GCPL had acquired the Snuggy trademark and copyright in May 2003 and has since grown to become one of the largest selling brands in South India. Post-JV, in 2007, the brand was vested with GSH, which marketed it along with other feminine hygiene and adult incontinence brands.
The JV was set up to manufacture and market absorbent hygiene products, specifically sanitary napkins and baby diapers, in India, Nepal and Bhutan. It was set up with an equity capital of Rs 200 million through equal investments by both partners.