FSN E-Commerce Ventures Ltd, which owns online beauty and personal care (BPC) retailer, Nykaa announced three strategic investments Friday to boost its beauty & clothing portfolios.
According to a BSE filing, the listed online retailer announced an acquisition of 18.5% stake in beauty brand Earth Rhtym for Rs 41.65 crore, a 60% stake purchase in Nudge Wellness for Rs 3.6 cr, making an entry into the nutraceuticals space & finally announced acquiring athleisure brand, Kica for Rs 4.51 crore.
Earth Rhythm, formerly known as Soapworks India, was launched in 2015 by Harini Sivakumar.
“The (Nykaa) investment is a clear endorsement of our efforts to build a clinically effective and technology-driven skin and hair care brand. Through this investment, our commitment to our customers and the planet is only going to get stronger,” Harini Sivakumar, Founder and CEO Earth Rhythm said.
Falguni Nayar-led Nykaa says its partnership with Onesto Labs-controlled Nudge Wellness is one among many of its recent deals with homegrown D2C brands aiming to bolster the early-stage beauty and lifestyle ecosystem.
Onesto Labs Private Limited is fully owned by promoter, 72 Ventures LLP & once the transaction with Nykaa closes in June 2022, Onesto will hold a 40% stake in the company.
In its third acquisition that is aimed at boosting its fashion vertical, Nykaa acquired Kica, an active wear and athleisure apparel. Founded by Aneesha Labroo in 2017, Kica will be housed among Nykaa’s other brands like Pipa Bella, Gajra Gang and IYKYK.
Aneesha Labroo, Founder, Kica said, “Kica has found strong synergies with Nykaa Fashion’s positioning within the e-commerce landscape and its engagement with a wide network of customers around the country.”
Nykaa, which made a bumper market debut in November 2021, has been on an acquisition spree. Just before its listing, the firm acquired skincare brand Dot & Key for an undisclosed sum in October 2021.
It has also been expanding its fashion business with a couple of acquisitions over the past two years. In 2019, it acquired women’s styling platform 20Dresses.com. In April, it acquired online jewellery retailer Pipa Bella, a brand that targets urban women in the age group of 22-35.
Having become an omnichannel lifestyle retailer with over 17 million monthly active users, Nykaa caters to more than 1.5 million orders on a monthly basis. The company offers over 4,000 brands and over 3.1 million product stock-keeping units (SKUs) through its website and mobile applications as of 31 August 2021.
