Wipro to acquire Yardley business assets of Lornamead

Wipro Limited has signed an agreement to acquire the Yardley business in Asia, Middle East, Australasia and certain African markets from Lornamead UK Limited (Lornamead Group) for $45.5 million.

Wipro is an India-based company engaged in the areas of information technology (IT) services, IT products and consumer care and lighting products, while Lornamead is a UK-based manufacturer and marketer of personal care products.

Yardley is a global brand established since 1770 in the personal care category with fragrance products, bath and shower products and skin care.

Lornamead will retain the Yardley business in Europe and the America's. The transaction is expected to complete by December 2009.

Rumor (October 13, 2009):

According to The Economic Times, Wipro Consumer Care and Lighting, Ltd., an India-based consumer goods arm of Wipro, is in advanced talks to acquire certain assets of Lornamead.

Reportedly, Dabur India Limited and Godrej Consumer Products, Ltd. have also done due diligence to acquire the assets of Lornamead.

Lornamead's global turnover is estimated to be $650 million.

Deal Value (US$ Million) 45.5
Deal Type                Acquisition
Sub-Category             Asset Purchase
Deal Status              Announced: 2009-11-05

Deal Participants

Target (Company)   Lornamead UK Limited - Yardley Business
Acquirer (Company) Wipro Limited
Vendor (Company)   Lornamead UK Limited

Deal Rationale

The acquisition will increase Wipro's footprint in the personal care space. It also fits into Wipro's strategy of increasing sales and brand presence in the Middle East. The Yardley brand complements Wipro's portfolio of Enchanteur and Santoor brands. The Yardley brand has strong equity globally in markets including Asia, Middle East, Australasia and Africa.

Related terms: acquisition, africa, asia, business, consumer, consumer products, equity, europe, india, information technology, manufacturer, middle east, products, sales