Horlicks, a regarded call within the Indian households in heading for exchange. The flagship brand of GlaxoSmithKline patron Healthcare (GSKCH) is now looking for new acquisitions within the food and health category. This means that Horlicks, the name that conjures pictures of an electricity drink and occasional biscuits, can now be tagged in broader classes such as cereals, yoghurt and extra. The organisation is planning fresh acquisitions in the near destiny that might assist achieve its targets.
Inside the last years, Horlicks (that bills for R 1, 500 crore in annual sales) has made efforts now to move in advance. For numerous years, Horlicks noticed fulfillment as a milk replacement in an Indian market where milk turned into scarce or highly-priced. It now desires to reinvent itself.
Last month, GSKCH made anybody aware about its plans to endow R300 crore on uplifting Horlicks as a logo. The FMCG (speedy-transferring patron items) principal stated it’d re-release Horlicks in a new avatar. Moreover, it might also sell the logo across media, which includes the virtual and in the mobile advertising space.
Presently, below Horlicks as its umbrella logo, the enterprise sells health drinks like Lite Horlicks, ladies’s Horlicks and Junior Horlicks. At the side of this, they have got also started to promote biscuits, noodles, strength drink and nutribars. The agency is about to consolidate its present day portfolio and venture into new segments.
AHorlicks has a sturdy fairness and 70 according to cent of GSK’s global turnover comes from Horlicks. We are now searching at extending the Horlicks equity to different classes. The idea is to further consolidate categories that are new and on the equal time study possibilities in other categories,” said Prashant Pandey, head, Horlicks, GSKCH.
Anand Shah, FMCG analyst with Angel broker stated, “The company has been eager on acquisitions for quite some time now but not anything large has materialised. With a surplus cash of Rs 800 crore, the opportunity of an acquisition is at the playing cards. The employer’s awareness on expanding the Horlicks emblem is pretty clean and it can enter new segments under the food and health category,”