Godrej Consumer Products (GCPL) plans another shopping spree over the next few years as it looks to acquire home and personal care companies in Africa, Indonesia and India with a war chest of Rs 3,000 crore.
“In the last few years, we have consolidated the previous buys and, in the next couple, we are ready to acquire more firms in similar space,” said GCPL managing director Vivek Gambir. “Our current debt-to-equity ratio is about 0.35. We are ready to push it to 0.8-0.9.” Alower debt-to-equity or leverage ratio indicates better financial health for a company. GCPL has about $950 million of cash on its balance sheet. The maker of GoodKnight mosquito repellent and Cinthol soap gets nearly half its sales from international businesses, mainly Indonesia and Africa. In the the past decade, GCPL has acquired nearly half-a-dozen companies and brands in Africa, including hair colour brand Rapidol (2006) and hair-extensions brand Kinky (2008).