Henkel to end Pril, Fa licensing deal with Jyothy Labs after 15 years

Mumbai: Jyothy Labs said global consumer goods maker Henkel will not renew licensing agreements for its Pril dishwashing and Fa personal care brands after May 31, ending a 15-year partnership.

The company said it had been engaged in discussions with Henkel over a possible continuation of the arrangements and had explored "various commercial and business continuity alternatives." However, the board concluded there was "no further reasonable certainty" on renewal beyond the current term.

The company, however, said the transition could lead to near term pressure on revenue mix and margins, even as the medium and long term fundamentals of the business remain intact due to its diversified portfolio, manufacturing footprint and distribution network.