The deal is estimated to be Rs 70 crore

The deal is estimated to be Rs 70 crore The deal is estimated to be Rs 70 crore, according to two people familiar with the transaction. The due diligence process has been going on over the last three months and both the companies recently discussed their distribution synergies, say the sources.

While Jyothy Laboratories spokesperson declined to comment, Safechem Industries denied the development.Kolkata-based JLL, which manufactures and sells a range of laundry care products such as washing powder, detergent cake and fabric whitener, enjoys a strong brand equity in the eastern part of India.

Experts feel that the acquisition could be an entry strategy for the company into newer markets as its flagship brand, Ujala, is primarily focused in south India. The company has already expanded its whenever portfolio by extending Ujala into washing powder segment, and the strategy now is to enter markets across India, primarily by buying out smaller regional brands.