Godrej Consumer Products Ltd (GCPL) on 1 January 2012 announced that its UK-based subsidiary Keyline Brands acquired Soft and Gentle, the women’s deodrant brand from Colgate-Palmolive Co for an amount which is undisclosed. Godrej Consumer Products Ltd (GCPL), which manufactures Hit insecticides as well as Cinthol soaps, also announced that acquisition was funded through low-cost debt. The effect of this on consolidated debt equity ratio of GPCL was 0.03.
Keyline Brands was established in 1990 in UK and GPCL acquired it in October 2005. The brand basically functions in products belonging to the categories of personal care and toiletries. There are various other niche brands such as Nulon, Erasmic, Cuticura and Aapri under its umbrella.
Soft & Gentle on the other hand is the 4th largest brand of female deodrant in UK as per its market share. The net sales of this company was reported as 187 crore Rupees in 2011. With acquisition of Soft & Gentle, Keyline Brands would add profits to the business of GPCL.