KKR to acquire majority stake in Indian cosmetics company Vini Cosmetics
Global investment firm KKR has agreed to acquire a majority stake in Vini Cosmetics, an Indian personal care and beauty products company, for around $625 million.
The sellers of the stake in the Indian cosmetics company are its founder group led by its chairman and joint-managing director Darshan Patel and joint-managing director Dipam Patel and Sequoia Capital.
Darshan Patel said: “Vini has experienced remarkable growth over the last 11 years, but we believe we are in the early stages of what our brands can deliver as consumer demand for high-quality personal care products continues to explode in India, South Asia and other fast-growing markets around the world.
“KKR has a proven track record of investing in the growth of some of India’s most innovative and disruptive homegrown champions, as well as in leading consumer and personal care companies globally.
“We look forward to leveraging their global platform, resources and operational expertise to take Vini to the next level by expanding our e-commerce platform, growing new product categories, and broadening our distribution networks.”
Established in 2010, Vini Cosmetics manufactures, markets, and distributes branded deodorants, cosmetics, and also toiletries via its flagship brand FOGG and other brands like OSSUM and GlamUp.
The Indian personal care products manufacturer is said to have around 700,000 points of sale and 3,000 dealers, who are backed by a sales force of 1,200 people.
Its products are also sold globally via a network of general trade and modern trade channels covering 50 nations, with considerable presence in South Asia and the Middle East.
Following the closing of the deal, the co-founders and WestBridge Capital will continue to hold a substantial position in Vini Cosmetics.
Gaurav Trehan – Partner at KKR said: “Vini has established itself as one of the fastest-growing personal care companies in India, and the strong consumer brand loyalty for FOGG and its other personal care products is truly impressive. Darshan and Dipam are industry pioneers, and we are excited to work with them and their team to capture new growth opportunities stemming from a young, emerging middle-class that increasingly seeks upgraded products.
“Our investment in Vini also underscores KKR’s long-term commitment to support India’s innovative and dynamic companies as they become leaders in their industries.”
Shardul Amarchand Mangaldas was the legal advisor to the founder group of Vini Cosmetics, while Steer Advisors was the transaction advisor. KKR was advised by KPMG, EY, STB, and AZB & Partners.
The deal, which is subject to customary closing conditions, is anticipated to close in July 2021,