Cipla Health signs agreement, strengthens beauty play with Ivia's brands
CHL has signed a business transfer agreement (BTA) for the purchase of Ivia Beaute
Cipla Health Limited (CHL), the wholly-owned subsidiary and consumer healthcare arm of Cipla, 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.
CHL has signed a business transfer agreement (BTA) for the purchase of Ivia Beaute.
The move is aligned with Cipla’s focus on enhancing its consumer healthcare and wellness portfolio, the company said on Monday.
CHL is expanding its foothold in Tier II-VI towns and bolstering its position in the beauty and personal care sector, targeting India’s aspirational consumers.
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 the next three years as mentioned in the BTA.
The transfer of the business undertaking is subject to the fulfilment of certain conditions mentioned in the BTA. Once these conditions are met, CHL will commence product distribution and marketing.
Shivam Puri, chief executive officer and whole-time director of CHL said the move not only solidifies the company’s presence in the beauty and personal care sector but also builds on its existing footprint in the Tier-II to VI cities.
