Dabur India Limited · NSE:DABUR
Dabur India — Merger or Acquisition (November 2010)
12 slides from Dabur India's merger presentation, Nov 16, 2010
Slide 1: Acquisition of 100% stake in Namasté Laboratories LLC by Dabur India Limited
Acquisition A i iti off 100% stake t k iin N Namasté té Laboratories LLC by Dabur India Limited Date: 16th November, 2010 Investor Communication: Acquisition of Namaste Laboratories LLC
Slide 2: Key Highlights
Key Highlights 9Dabur India Limited through its subsidiary Dabur International Limited has entered into an agreement to acquire 100% stake in Namaste Laboratories LLC and its three subsidiary companies ‐‐ Hair Rejuvenation & Revitalization Nigeria Limited, Healing Hair Laboratories International, LL
Slide 3: Key Highlights
Key Highlights 9 This acquisition is in line with Dabur’s strategy to enhance its presence in the international FMCG market . Namaste has a complementary product portfolio that will b leveraged be l d iin Dabur’s D b ’ existing i i overseas markets k iin MENA & Af Africa. i 9Namaste has a well estab
Slide 4: Overview: Namaste LLC
Overview: Namaste LLC 9One of the leading and fastest growing players in African Hair Care segment in US, Europe and Africa. 9Sales of US$93 Mn and EBITDA of US$12 Mn expected for calendar year 2010. 9Founded 9F d d in i 1996 to t fulfill f lfill the th needs d off the th health‐conscious h lth i Af
Slide 5: Overview: Category/Product Line
Overview: Category/Product g y Line Maintenance Hair Restoration & Professional Products Relaxer Kits (42%) Products (38%) Therapy (8%) (6%) • Launched in 1998 • Launched in 2004 • Launched in 1998 • Launched in 2005 • # 1 market share in • # 1 market share • # 1 Treatment • The line is targeted She
Slide 6: Overview: Robust growth
Overview: Robust growth 100.0 12.0 93.0 Sales 12 90.0 83.2 EBITDA 10.0 77.6 9.8 80.0 Company continued to grow 70.0 64.38.1 81 81 8.1 80 8.0 over last 2 years despite 60.0 recessionary environment. 48.6 50.0 6.0 6.0 40 0 40.0 32.9 3.8 4.0 30.0 20.0 2.0 10.0 0.0 0.0 2005 2006 2007 2008 2009 2010E 9 F
Slide 7: Overview: Geographic break up
Overview: Geographic break up Others Africa 1% 11% Caribbean 4% Europe 8% UAE 4% USA 72% 9Well diversified revenues with growing presence in Africa, UAE and Europe 9Contribution from markets other than US has increased from 21% in 2005 to 29% in 2010 at a CAGR of 32%. Date: 16h November, 2010 Invest
Slide 8: Ethnic Hair Care Market opportunity
Ethnic Hair Care Market opportunity pp y Ethnic Beautyy The overall ethnic beauty Market market, which includes hair US$ 9.5 bn care, skin care and cosmetics. General Hair Care This category includes the sale of Ethnic Market hair care products not $ 3.3 bn US$ specifically designed for ethnic hair
Slide 9: African American consumer: Opportunity
African American consumer: Opportunity 9There are over 40 million African‐Americans Large & Growing Population 2050 in the U.S., or 13.5% of the U.S population. 2008 66 million 41 million 15% of US 70000 0000 13 5% of US 13.5% 9Projected 9 j d to grow to more than h 65 million illi by b 60000 2050,
Slide 10: Ethnic Hair Care market
Ethnic Hair Care market Fast Growing US Hair Care Market 9 African‐American Hair Care US$ in Billion 1.7 market is expected p to ggrow to 1.8 1.6 US$1.7 billion by FY2012 1.4 1.4 1.2 1.0 08 0.8 0.6 Ethnic Hair Care Market ‐ 0.4 categories 0.2 0.0 All Other, 6% 2007 2012 Shampoo, 5% Source: US packag
Slide 11: Acquisition Rationale
Acquisition q Rationale 9The Namaste acquisition enables entry into the large and attractive African hair care market. 9Significant revenue and cost synergies: Complementary product portfolio Extend and supplement our business in MENA and Sub Saharan Africa. Enable entry into newer markets in
Slide 12: Disclaimer
Disclaimer This presentation has been prepared by Dabur India Limited (“Dabur“ or “Company”) for informational purposes only l and d should h ld nott bbe usedd as a b basis i ffor any iinvestment t t andd any iinvestment t t related l t dd decisions/ i i / analysis. l i Certain statements made in th