Kolkata-based Emami Limited, a personal care and healthcare company, has acquired a 67% stake in Fravin Limited, an Australian organic cosmetics firm for an estimated $3.1 million. (Aus $4million plus)
Fravin’s founder, Peter Francis, said “Emami’s plans are to build a $77 million (AUS $100 million) manufacturing business out of South Australia over the next decade through our company. It’s a strategic move by the Indian company, which has more than 260 products in its portfolio, to enter the premium organic care markets in India and overseas.”
Established in 1974 by two childhood friends R.S. Agarwal and R.S. Goenka who quit their accountant jobs to start the company, the now diversified “fairness” product manufacturer Emami Group operates in more than 63 countries. Cosmetic products form one part of its business, which also includes making ball pen tips, edible oil, infrastructure and development, cement, biodiesel, and hospitals.
Emami’s investment deal will benefit Fravin – the Australian company will be able to expand its manufacturing capacity and access new export markets. Emami will benefit from the ‘green chemistry’ of the Australian firm, reports Organic Monitor.