Dabur India on Tuesday said it was planning a Rs 22 crore (Rs 220 million) investment in capacity expansion this fiscal to set up new manufacturing units and has identified Vatika as the umbrella brand for the fast moving consumer goods business.
Answering queries from investors and analysts in New Delhi, Sunil Duggal, chief executive officer, Dabur, said, "We are planning a capacity expansion worth Rs 22 crore for the new units out of the total capex of Rs 35 crore (Rs 350 million). It is likely to happen in the current fiscal. Two out of three units will certainly be in stream, one in the next quarter and one in the third quarter."
On the company's brand strategy, Duggal said Vatika would be the umbrella brand, pegged on the natural beauty platform.
"In fact, all our skin and hair care products which come under the natural beauty platform would be housed under Vatika. Vatika already has a significant presence in hair care, both in the oil and shampoo segments. We have recently extended its equity into the skin care area through the new fairness product, which we are test launching," he said.
Duggal said the company was expected to reduce its borrowings and working capital by Rs 50 crore (Rs 500 million) each this fiscal.
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