VVF completes Colgate plant buy

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To make packaged cleaning products, homecare & personal care products


R. Ravikumar

ChennaiFeb. 15VVF Ltd, a leading manufacturer of soaps, oleochemicals, personal and homecare products in India, has formally completed the acquisition of the Colgate plant in Kansas City.

According to Mr Piyush Jindal, Senior Vice-President, Personal Care, the new operation will be headed by Mr Kurussh Amrolia, CEO and President of VVF Intervest LLC, a wholly owned subsidiary of VVF Ltd.

Mr Jindal told

Business Line

that VVF will utilise the Kansas plant to manufacture packaged cleaning products including soap bars, shampoos, light-duty liquid soaps and other homecare and personal care products. The new facility would also house the North American headquarters of the company.

According to Mr Jindal, the plant's capacity is sufficient to enable VVF to achieve the market share and leadership in the US that it currently enjoys in the South-East Asian market for the same products. The Kansas City plant, part of Colgate for over 100 years, is a highly automated facility. Located in the Mid-west of the US, it is spread across 25 acres and well connected by rail and road to the entire North American continent.

VVF will use the new plant to service existing brand-name contract manufacturing customers, with whom it has business in Asia, Europe, West Asia and North America. VVF will also use the new facility to expand its business in the hospitality market, serving major hotel chains with soaps, shampoos and related products.

Current production of hotel amenities and private label products at the company's Missisauga, Ontario plant is being transferred to the Kansas plant.

VVF's private label business with supermarket, mass merchandise and drugstore chains, will be extended to the US market using the new plant.

VVF recently acquired the assets of Teo Corp, Ontario, an anti-perspirant and deodorant stick manufacturer.

(This article was published in the Business Line print edition dated February 16, 2007)
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