VLCC to buy UAE grooming company for $32m
Dubai, February 2, 2010
VLCC, the Indian wellness chain, is planning to acquire UAE’s The Grooming Company (TGC) for Rs 150 crore ($32.4 million), according to a report.
VLCC operates only fitness centres, numbering 14, in the UAE. The beauty chain’s acquisition will help the company foray into the hair and nail treatment category in a key market — the Middle East contributes 40 per cent of overall revenues — where the grooming space is seeing an unprecedented boom, growing at over 12 per cent annually, said The Economic Times report.
The transaction will be funded through internal accruals and debt and will be done in phases, according to the report.
A VLCC spokesperson had no comment on the development while TGC executives could not be reached.
TGC, founded by Arabic investor Negin Fattahi Dasmal in the late 1990s, owns high-end brands such as N-Bar, 1847, JetSet, and Tilia & Finn. N-Bar is a chain of nail treatment salons while 1847 comprises grooming lounges for men. JetSet is ‘wash and blow dry’ hair-care concept and Tilia & Finn is a beauty lounge that combines grooming and beauty services under one roof.
These outlets have helped TGC to net annual revenues of around $40 million from the UAE cosmetics and personal care market, estimated to be worth over $1 billion and growing at over 20 per cent a year. TCG, which employs around 800 people, is spread across the UAE and Lebanon and will shortly launch in Kuwait and Qatar.
Research and advisory firm Ernst & Young is advising VLCC on the transaction, said the source.
More Health & Environment Stories
- CGM acquires 3 European healthcare IT providers
- The age of genomic medicine dawns, finally
- Over 300 exhibitors for Saudi healthcare event
- Mackeen unveils document management solution
- Seha opens new clinics in Abu Dhabi, Al Ain
- SARS virus claims one more victim in Saudi
- New support group comes to overeaters' rescue
- RAK Hospital launches urinary clinic for women
- NBAD backs Emiratis on Antarctica trip
- Cut sugar intake drastically urges WHO
- Al khaliji to fund Qatar recycling plant
- Qatar researcher in 360km breast cancer run
- New facilitator to open in DHCC
- Many countries lack capacity to prevent hearing loss
- QUIT NOW: Passive smoking hurts kids' arteries
- San Francisco to ban plastic water bottles
- GSK wins home toothpaste award for Sensodyne
- E-integration vital to GCC healthcare industry
- Fakih IVF unveils two new genetic tests
- 2 die from H1N1 in Oman
- Al Noor Hospitals targets domestic growth
- Medical panel on the way in Bahrain
- 40pc of UAE adults ‘have hypertension’
- Saudi diabetics urged to stay away from camels
- GCC readies plan to fight heart diseases
- Bahrain opens sickle cell hospital
- Hazardous waste focus for Oman summit
- Infectious viruses to be tracked by satellite in UAE
- Mafraq Hospital names new surgery chief
- Saudi health ministry seals BMJ partnership