Delisting buzz fuels Gillette stock surge

The two companies, P&G and Gillette, have a long history of working in India under different names and different partners.

Gillette India was called Indian Shaving Products when it launched operations in India in 1984; Procter & Gamble did not exit India then, but Richardson Hindustan Ltd, the owner of the Vicks brand did.

P&G snapped up Richardson’s parent in a global acquisition in 1985 and entered India, adding the famous Vicks brand to its portfolio. Twenty years later in 2005, history seemed to repeat itself when P&G bought Gillette worldwide, becoming the owner of male grooming products such as shaving razors and creams.

For some time now, investors have been speculating about a possible open offer and delisting of Gillette India. The firm’s shares have jumped 10% in the past four days on high volumes on buzz that such an offer is imminent. Two bankers have apparently been appointed to do the process.

A P&G spokesperson, however said, "This information is untrue." According to grapevine, P&G may offer between Rs 2,800 and Rs 3,000 to minority shareholders.