Hindustan Unilever in talks to acquire D2C skincare brand Minimalist in Rs 3,000 cr deal: Report
Mumbai: Hindustan Unilever (HUL) is reportedly in advanced negotiations to acquire Minimalist, a direct-to-consumer (D2C) skincare brand, at a valuation of Rs 3,000 crore, Business Standard reported, citing sources.
Launched in 2020, Minimalist is known for its ingredient-driven skincare offerings.
It raised funds in its Series A round from Unilever Ventures and Sequoia Capital India (now Peak XV Partners).
“In line with our business strategy, on an ongoing basis, we evaluate various strategic opportunities for growth and expansion of our business. We will make appropriate disclosures whenever there is any material development that requires disclosure under applicable laws,” an HUL spokesperson told Business Standard in an email response on the deal.
The source indicated that HUL is expected to finalize the acquisition within the ongoing quarter (Q4FY25), with the company aiming to acquire majority control.
The founders of Minimalist, Mohit and Rahul Yadav, based in Rajasthan, are likely to retain some ownership, according to the source.
The deal is expected to be valued at 8-10 times the brand’s revenue, which amounted to Rs 347.4 crore in FY24, up from Rs 183.8 crore in FY23.
The company’s profit after tax (PAT) also more than doubled to Rs 10.8 crore in FY24, compared to Rs 5.2 crore in FY23.
The source noted that the final deal valuation could exceed the expected figure.
In December 2022, HUL ventured into the health and wellness sector by announcing agreements to acquire stakes in two companies—Zywie Ventures, which sells plant-based and clean-label wellness products under the OZiva brand, and Nutritionalab, which markets products under the Wellbeing Nutrition brand.
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