Esdl Pp

[Apache]

Originally Posted by newton

Looked up the company on google... see link 2 website

ESDL Product Range

There's a lot of reference to Reckitt&Benckiser in respect of their agreeement to manufacture Dettol skincare and Dettol medicated on the latter's behalf.

Let's wait for confirmation from Nico J on which company it is but at least I have clarified the relationship between Reckitt Benckiser and the company (whichever it is). My guess is that it is ESDL.

[Nico J]

ESDL is the company mentioned. I am still awaiting the teaser. My broker says he will only be in the office later today, to send it.

[BLUEMONEY]

Originally Posted by Apache

I will be eagerly waiting to see this document also. I can categorically tell you that nobody has any franchise for Dettol soap anywhere in the world. What they have is what is called a "co-packing arrangement" whereby they contract some companies to manufacture their products for them ONLY for which an amount is paid to them while Reckitt Benkciser takes care of the marketing/ distribution of the products.
Note that this arrangement is very different from a franchise. In a franchise agreement, the other company invests in the manufacturing, marketing and distribution of the products with guidance from the franchise owner while a certain % of either profit or turnover is paid to the Franchise owner.
See, just pick up a Dettol soap bar and look at the manufacturing details to see what I am talking about.


Talking about Dettol Soap, is the company doing this PP called European Soaps & Detergents Limited (ESDL)?

thanks for going through the stress. you are right i have checked the manufacturing details

[JB7]

This is what i got, I hope it helps..

[BLUEMONEY]

Originally Posted by JB7

This is what i got, I hope it helps..

thank you very much. i hope afrinvest will not do thier normal premium selling with this PP.

[wanaj0]

Originally Posted by BLUEMONEY

thank you very much. i hope afrinvest will not do thier normal premium selling with this PP.

Never heard of AFrinvest being involved in such shoddy deals!!!!!

[JB7]

From the information i got, they are currently recieving expression of interest and it ll close tomorrow. So anyone interest should forward their interest. Apperently it is non commital so you dont have to go ahead if you dont want to...

[en_y]

who in Afrinvest should we contact to express interest in the PP

[Nico J]

I have just been informed that if I want guaranteed preferential allotment which is said to be going on, I should pay before tommorrow. The problem is the 20M naira minimum subscription. I am however promised that efforts will be made to see what is possible with whatever I can raise by tommorrow.
I have also been told that the actual PP will open later maybe by the end of the month, but allotment then is not be guaranteed.

[Apache]

Okay guys,
I was going to reserve my comments till we see the prospectus but since some of us are about depositing their money, Let me make some few comments about this PP in my own POV.
Most of the comments made by ESDL are right as per the size of the market, potentials etc.
However, what they didn't disclose is the level of competition in the soap category which is dominated by the big palyers such as Unilever, PZ, Orange drugs, Jagal, Tura and of course Reckitt Benckiser. These companies have major brands such as Dettol, Premier, Joy, Lux, Delta, Carex, Tura, Key soap to mention a few. These brands are supported with marketing investments that runs into billions of naira. It is easier to pass a camel into the hole of a needle than gaining a 1% share in the soap category. Also, while the FG has banned importation of soaps, a lot of imported soaps still find their way into the market. You will see brands such as Giv, Eva, Irish spring, Dove, imported Lux and a whole lot of them.
Now, how does ESDL intend to gain market share. They might have the capacity to manufacture but who is going to buy the soap that they manufacture. Between us, who can tell me that he uses any of the soap brands highlighted by ESDL (Of course you can't count Dettol among them)
If you look at the Afrinvest writeup, All they talk about is distribution (which I think will be a tall challenge for them) but no mention of marketing.
Also, for the fact that they are a "one product company" with no plans for diversification makes this PP unattractive for me.
Please think very well before going into this

[JB7]

Word from Afrinvest is that the shares are priced at N3 per 50k shares and a minimum of 500,000 units. If payment is made by tuesday or around then the one gets garanteed allotment.
I am feeling Apache on this one oh, that industry is very stiff and gaining market share there is very tough..
It also seems like once Afrinvest get you to commit money then you are locked in..
What does one do????

[JB7]

Expression of Interest form ESDL

[Avemercy]

This is indeed words of wisdom and we must listen to these words.
For me I think marketing a new product in a saturated environment is critical and must be looked into before jumping into this.
I was once involved in the marketing of Dudu Osun and I know what we went through, after all efforts it has still not been accepted as we predicted.
For me I will not play with the words of an elder in the business like Apache.

Originally Posted by Apache

Okay guys,
I was going to reserve my comments till we see the prospectus but since some of us are about depositing their money, Let me make some few comments about this PP in my own POV.
Most of the comments made by ESDL are right as per the size of the market, potentials etc.
However, what they didn't disclose is the level of competition in the soap category which is dominated by the big palyers such as Unilever, PZ, Orange drugs, Jagal, Tura and of course Reckitt Benckiser. These companies have major brands such as Dettol, Premier, Joy, Lux, Delta, Carex, Tura, Key soap to mention a few. These brands are supported with marketing investments that runs into billions of naira. It is easier to pass a camel into the hole of a needle than gaining a 1% share in the soap category. Also, while the FG has banned importation of soaps, a lot of imported soaps still find their way into the market. You will see brands such as Giv, Eva, Irish spring, Dove, imported Lux and a whole lot of them.
Now, how does ESDL intend to gain market share. They might have the capacity to manufacture but who is going to buy the soap that they manufacture. Between us, who can tell me that he uses any of the soap brands highlighted by ESDL (Of course you can't count Dettol among them)
If you look at the Afrinvest writeup, All they talk about is distribution (which I think will be a tall challenge for them) but no mention of marketing.
Also, for the fact that they are a "one product company" with no plans for diversification makes this PP unattractive for me.
Please think very well before going into this

[londoncool]

Afrinvest is offering investments of a minimum of N350,000 to purchase 100 units of their ESDL Funds scheme. In the event of the PP being listed on the NSE each unit would entitle the investor to 1,000 units on the floor.The offer is closing on 26/05/2008.

[Prince11]

ESDL is a ....NO...NO....for me..

Folks should think carefully before investing in all kinds of PP !!

What else do we need to know if a PP is not good enough????

Anyway, someone must loose for someone to gain...

Enough said !

[BLUEMONEY]

Originally Posted by wanaj0

Never heard of AFrinvest being involved in such shoddy deals!!!!!

But selling starcomms placement for 15 naira through thier "FUND" when it was registered with SEC at 13 naira is shoddy.

[Michael]

EDSL is real. Afrinvest is creating a fund to Purchase and manage it till its listing. Placement is open now

[Apache]