Cipla Ventures into Beauty Sector with ₹130 Crore Acquisition
Pharmaceutical titan, Cipla Ltd, has unveiled its strategic acquisition of the cosmetics and personal care business of Ivia Beaute Pvt Ltd. The ₹130 crore deal marks a significant foray into the beauty and wellness sector.
The acquisition encompasses renowned beauty brands such as Astaberry, Ikin, and Bhimsaini on a global scale. This move aligns seamlessly with Cipla’s aim to bolster its consumer healthcare and wellness portfolio. Cipla Health Ltd, the company’s wholly-owned subsidiary and consumer healthcare division, inked the Business Transfer Agreement for the distribution and marketing operations.
The deal structure comprises ₹130 crore payable on the closing date, with an additional ₹110 crore contingent upon achieving specific financial milestones over the next three years. This development mirrors the broader consolidation trend in India’s beauty and personal care industry, as international giants strive to tap into evolving consumer preferences.
India’s beauty market continues to follow a robust growth trajectory, with e-commerce predicted to be the primary driver achieving approximately 25% CAGR. Industry pundits forecast the premium beauty segment to reach $3-3.2 billion by 2028, propelled by escalating aspirations and higher incomes among Indian consumers.
This strategic expansion places Cipla in a stronger position to compete in the rapidly evolving beauty landscape. Traditional pharmaceutical companies are increasingly diversifying into consumer wellness products, and this move ensures Cipla remains at the forefront of this trend.
Source: https://www.business-standard.com/topic/beauty-personal-care