Cipla Health Ltd has signed a Business Transfer Agreement for purchase of the distribution and marketing business undertaking of the cosmetics and personal care business of Ivia Beaute Pvt Ltd.
Cipla Ltd will acquire the cosmetics and personal care distribution and marketing business of Ivia Beaute Pvt Ltd, including the latter's brands Astaberry, Ikin and Bhimsaini, on a worldwide basis for Rs 130 crore, according to a regulatory filing by the company.
Cipla Health Ltd (CHL), a wholly owned subsidiary and consumer healthcare arm, has signed a Business Transfer Agreement (BTA) for purchase of the distribution and marketing business undertaking of the cosmetics and personal care business of Ivia Beaute Pvt Ltd, Cipla said.
This strategic move is aligned with Cipla's focus on enhancing its consumer healthcare and wellness portfolio, it added.
The acquisition will include Ivia Beaute's brands namely Astaberry, Ikin and Bhimsaini on a worldwide basis, the company said.
On the cost of acquisition, Cipla said it will be "Rs 130 crore on the closing date and Rs 110 crore contingent upon achievement of certain financial parameters (milestones) for next 3 years as mentioned in the BTA".
"The transaction is expected to be completed within 60 days from the signing of BTA or such other date mutually agreed between the parties in writing and shall be subject to successful completion/waiver of the conditions precedent and closing conditions as mentioned in such BTA," it added.
Commenting on the acquisition, CHL CEO and Whole Time Director Shivam Puri said, "This move not only solidifies our presence in the expansive and dynamic beauty and personal care sector but also builds on our well-established footprint in Tier 2-6 cities."
He further said, "Integrating Astaberry, Ikin and Bhimsaini into our portfolio seamlessly complements our existing offerings across key OTC/consumer healthcare categories, empowering us to deliver comprehensive solutions that cater effectively to the diverse everyday needs of our consumers."
With a brand legacy of over 16 years, Astaberry caters to consumers through a wide range of unique products to help them address their skincare needs, the company said.
The transfer of the 'undertaking' is subject to the completion of certain conditions mentioned in the BTA. Pursuant to the completion of such conditions, CHL shall initiate the distribution and marketing of the products, it added.