MUFG Reduces Stake in Colgate-Palmolive India to 2.98% Through Subsidiary Divestment

1 min read     Updated on 29 Jul 2025, 03:39 PM
scanxBy ScanX News Team
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Overview

Mitsubishi UFJ Financial Group (MUFG) has significantly reduced its stake in Colgate-Palmolive India from 5.00% to 2.98%. The Japanese financial group sold 5,489,251 shares, representing 2.02% of Colgate-Palmolive India's total voting capital, through the divestment of four subsidiary entities. The transaction occurred on July 25th, 2025, and was reported to SEBI on July 29th, 2025, in compliance with regulatory requirements.

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*this image is generated using AI for illustrative purposes only.

Colgate Palmolive (India) Ltd has seen a significant reduction in stake by Mitsubishi UFJ Financial Group (MUFG), a move that has caught the attention of market observers. The Japanese financial giant's holding in the Indian consumer goods company has decreased from 5.00% to 2.98%, following a strategic divestment of multiple subsidiary entities.

Divestment Details

On July 25th, 2025, MUFG executed the sale of four key subsidiaries that directly held shares in Colgate-Palmolive India:

  1. First Sentier Investors (Hong Kong) Limited
  2. First Sentier Investors (Singapore)
  3. Mitsubishi UFJ Asset Management Co., Ltd. (formerly Mitsubishi UFJ Kokusai Asset Management Co., Ltd.)
  4. Mitsubishi UFJ Trust and Banking Corporation

This transaction resulted in the sale of 5,489,251 shares, representing 2.02% of Colgate-Palmolive India's total voting capital.

Shareholding Impact

The divestment has led to a substantial change in MUFG's shareholding pattern in Colgate-Palmolive India:

Shareholding Before Sale After Sale Change
Number of Shares 13,603,560 8,114,309 -5,489,251
Percentage Stake 5.00% 2.98% -2.02%

It's worth noting that the total voting capital of Colgate-Palmolive India remains unchanged at 271,985,634 shares.

Regulatory Compliance

In accordance with the Securities and Exchange Board of India (SEBI) regulations governing substantial acquisition of shares and takeovers, MUFG has made the necessary disclosures. The company filed a formal disclosure under Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 on July 29th, 2025.

Market Implications

While the reasons behind MUFG's decision to reduce its stake have not been explicitly stated, such moves by major financial institutions often attract attention from market analysts and investors. The transaction could potentially impact the stock's trading patterns and investor sentiment towards Colgate-Palmolive India.

As the market digests this information, stakeholders will be keen to observe any potential shifts in Colgate-Palmolive India's stock performance and whether this change in ownership structure might influence the company's strategic direction in the coming months.

Investors and market watchers are advised to keep a close eye on further developments and any potential impact on Colgate-Palmolive India's market position in the consumer goods sector.

Historical Stock Returns for Colgate Palmolive

1 Day5 Days1 Month6 Months1 Year5 Years
+0.37%-0.63%-6.72%-20.42%-34.20%+57.75%
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Colgate-Palmolive India Reports Mixed Q1 Results Amid Challenging Conditions

2 min read     Updated on 23 Jul 2025, 06:52 PM
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Overview

Colgate-Palmolive India's Q1 results show a 4.40% decrease in net sales to ₹1,421.00 crore and an 11.80% drop in net profit after tax to ₹321.00 crore. Despite the quarterly decline, full fiscal year performance improved with 6.30% revenue growth and 8.50% net profit increase. The company declared interim dividends of ₹51.00 per share. Key initiatives include launching Colgate Kids Squeezy Toothpaste, expanding the Oral Health Movement, and progressing on sustainability goals. Colgate-Palmolive India remains focused on innovation and market expansion, anticipating gradual recovery in the second half of the year.

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*this image is generated using AI for illustrative purposes only.

Colgate Palmolive , a leading oral care company, has released its financial results for the first quarter, ending June 30. The company reported a decline in both revenue and profit compared to the same period last year, reflecting challenging operating conditions in the market.

Financial Performance

For Q1, Colgate-Palmolive India reported:

Metric Q1 Current Q1 Previous Change
Net Sales ₹1,421.00 ₹1,486.00 -4.40%
Net Profit After Tax ₹321.00 ₹364.00 -11.80%

The company acknowledged the tough operating environment but expressed optimism about a gradual recovery in the second half of the year.

Full Year Performance

Despite the recent quarterly decline, Colgate-Palmolive India showed stronger performance for the full fiscal year:

  • Topline revenue increased by 6.30% year-on-year
  • Domestic net sales growth stood at 5.60%
  • Net profit after tax grew by 8.50%

Dividend Declaration

The company declared total interim dividends of ₹51.00 per share, demonstrating its commitment to shareholder returns.

Key Developments and Initiatives

  1. Product Innovation: Colgate-Palmolive India launched Colgate Kids Squeezy Toothpaste, targeting children aged 3-6 years. The product comes in Strawberry and Watermelon flavors and features an easy-to-squeeze bottle designed for small hands.

  2. Oral Health Movement: The company's Oral Health Movement has screened over 4.5 million people across India, with more than 700,000 individuals visiting dentists post-screening. This initiative demonstrates Colgate's commitment to improving oral health awareness and access to dental care.

  3. Government Recognition: Union Health Minister Jagat Prakash Nadda participated in the Colgate Oral Health Movement Summit in New Delhi, acknowledging the company's contributions to oral health in India.

  4. ESG Reporting: Colgate-Palmolive India released its fourth Environmental, Social, and Governance (ESG) report, highlighting the company's progress in sustainability and corporate responsibility.

  5. Awards: The company's Oral Health Movement won 9 awards at the e4m Performance Marketing Conference & Awards across various categories.

Sustainability Efforts

Colgate-Palmolive India has made significant strides in its sustainability initiatives:

  • Achieved net-zero water status in three out of four manufacturing plants
  • Harnessed 33% renewable electricity
  • Maintained TRUE® Certification for Zero Waste across all plants
  • 80% of toothpaste tubes are now recyclable by volume
  • 91% of packaging material is reusable, recyclable, or compostable

Looking Ahead

While facing short-term challenges, Colgate-Palmolive India remains focused on innovation, sustainability, and market expansion. The company's multi-tiered approach to targeting diverse market segments, coupled with its strong retail presence and ongoing sustainability efforts, positions it to navigate the current market conditions and pursue long-term growth opportunities in the Indian oral care market.

As the company anticipates a gradual recovery in the latter half of the year, investors and industry observers will be watching closely to see how Colgate-Palmolive India's strategies unfold in the face of ongoing market challenges.

Historical Stock Returns for Colgate Palmolive

1 Day5 Days1 Month6 Months1 Year5 Years
+0.37%-0.63%-6.72%-20.42%-34.20%+57.75%
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