Colgate-Palmolive Asia Pacific buys stake in Bombay Shaving Company
Colgate-Palmolive Asia Pacific Ltd has picked up a strategic stake in men’s grooming firm Bombay Shaving Company to boost its personal care segment in India.
The company has picked up a 14% minority stake in Bombay Shaving Company during a recent round of fundraising, which fetched the latter company Rs 18 crore ($2.6 million).
“Building a consumer brand in India needs time, capital and long-term vision. After having proven product-market fit with promising repeat rates and product response, we are now looking to scale the brand. Colgate-Palmolive will help us with product development, scaling our distribution and building the brand,” Shantanu Deshpande, CEO at Bombay Shaving Company, told the Economic Times
With the acquisition, Colgate-Palmolive is looking to make inroads into the lucrative men’s grooming segment to boost sales and improve its margins in the country.
The overall Indian men's grooming market is projected to touch sales of Rs 14,200 crore (approx $2.2 billion) by 2020, according to a Euromonitor report, which is why many big firms are diversifying their product portfolio by acquiring start-ups in this space.
Another FMCG major Emami Ltd, which already has a stake in ‘The Man Company’ is also looking at making investments in acquiring strategic stakes in new age companies to boost its men’s grooming segment.
Founded in 2016, Bombay Shaving Company offers over 32 products across shaving, bath and body, skin and beard care. Apart from selling online, it is also present in over 700 retail touch points across four cities.
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