DOMS Industries Limited has announced the completion of its strategic investment to acquire a 51.77% equity stake in Uniclan Healthcare Private Limited, a producer of baby diapers, wipes, and other baby hygiene products. The acquisition makes Uniclan a subsidiary of DOMS.
As a part of the transaction, the Company has acquired 71,16,080 equity shares for a total consideration of ₹ 54.88 crore, of which ₹ 28.88 crore shall be primary infusion, which will be utilized towards capacity expansion, debt repayment and funding working capital requirements by Uniclan.
The acquisition enables DOMS to expand its product range and diversify its product portfolio in line with its overall growth strategy to cater to a broader market. Uniclan has a state-of-the-art manufacturing facility in Jaipur, Rajasthan with an installed capacity approximately 400 million pullup pant style baby diapers per annum which are primarily sold under its flagship brand “Wowper”.
For DOMS, this acquisition presents several significant advantages. By entering the diaper market, which is valued at approximately $2 billion and growing at a compound annual growth rate (CAGR) of approximately 16%, DOMS significantly expands its addressable target market. In the short term, Uniclan will benefit from DOMS’ extensive distribution network, including its strong relationships with distributors.