Ujala Maker Jyothy Labs is all set to launch the first set of its new products in the ayurvedic space in the next summer season, multiple sources close to the development told CNBC-TV18.
The company is planning to launch liquid face wash and hand wash between April and May 2019, said the sources, who didn't want to be named, adding that the launch will be under the brand 'Margo' through which the firm sells variants of soaps.
According to the sources, the products will be produced in-house at the company's Guwahati facility and will be made available in the South and East of India in the first phase.
Jyothy Labs, which has charted out a large scale strategy in the ayurveda space, had set a target to achieve revenue of Rs 500 crore from the personal care space by 2021. In line with this strategy, Jyothy Labs is working on a two fold organic and inorganic roadmap to achieve the same.
Personal care makes up about 12 percent of the overall business for Jyothy Labs. With the Margo brand growing at a CAGR of 18 percent for the last few years, the company is seeing further scope for expanding the basket.
The sources also added that Jyothy Labs is aiming to achieve Rs 100 crore revenue in FY20 with the help of these two new categories that it will be introduced in summer 2019.
Additionally, the company is also looking to make an acquisition in the hair care space. It is exploring options to buy out a Kerala based ayurvedic company that specialises in niche categories that can give it quick entry into newer segments.
According to the sources, the company has set aside about Rs 200 crore for an acquisition in the buzzing ayurveda space. The idea is to have a product that stands out against competition.
In a response to CNBC-TV18's query, the company confirmed the news.
The naturals space in India took off after the entry of Baba Ramdev's Patanjali Ayurved. This growing fondness for all things herbal saw MNCs like Colgate and HUL also bring out ayurvedic variants of their existing products.
Jyothy Labs too plans to cash in on the same. The company has been launching variants in Margo as well as Neem Active Toothpaste to ride this ayurveda wave.
First Published: IST