Business Desk :
Advanced Chemical Industries Ltd (ACI) has decided to terminate its joint venture with Dabur International Ltd to accelerate its own business, according to a senior official of the company.
As ACI’s portfolio includes some products, such as juice and honey that are in common with those of Dabur, the local conglomerate has decided to market its own goods rather than those of the Indian multinational, he said.
Dabur produces a wide range of food items that were distributed through the channels of its local subsidiary, Asian Consumer Care, which was partly owned by ACI.
Other than food items such as Dabur Honey, Dabur Chyawanprash, Asian Consumer Care also marketed the company’s personal care products, including Dabur Amla Hair Oil, Dabur Vatika Hair Oil, Vatika Shampoo and Dabur Vatika Face Pack.
ACI’s board of directors approved the termination of its joint venture agreement dated July 5, 2003, with Dabur International, formerly known as Redrock Ltd, the company said in a filing on the Dhaka Stock Exchange yesterday.
ACI will sell its entire stake of 24 per cent in the share capital of Asian Consumer Care Ltd involving Tk 60 crore to expand its operations.
The local company invested about Tk 11.5 crore in Dabur. Asian Consumer Care was making profits of around Tk 10 crore on average in the last few years.
