Godrej to buy out Sara Lee in JV
Date: 13-05-2010Godrej Consumer Products has agreed to buy out Sara Lee in their joint venture Godrej Sara Lee for $234 million (Rs 1,055 crore). The buyout will make Godrej the biggest home-grown consumer goods maker. GCPL is expected to dilute its equity to part-fund the deal.
The 15-year-old joint venture is coming to an end as the American company is selling its personal care businesses to focus on food business. Godrej will continue to have the marketing rights for Sara Lee’s products till 2012. The joint venture has the rights to distribute various products, including local brands such as Good Knight mosquito repellent and insecticide Hit. crackcrack