The board of directors of FSN E-commerce Ventures Ltd., which operates under Nykaa brand name, approved acquisition of up to 18.51 % stake in Earth Rhythm Private Ltd. for ₹41.65 crore, up to 60% (with a right to go up to 100%) stake in Nudge Wellness Private Ltd. for ₹3.6 crore, and entering into definitive agreements by Nykaa Fashion Private Ltd. (a wholly owned subsidiary of the company) for acquisition of the brand Kica, including the trademark and other Intellectual Property Rights from its owner Aneesha Labroo for ₹4.51 crore.
Earth Rhythm focuses on research-based and results-oriented products and had clocked revenues of ₹18.56 crore in FY22. Set up by Harini Sivakumar, the firm is into manufacturing cosmetics and toiletries. The transaction is expected to close in May 2022, the company said in a filing with the stock exchange.
Anchit Nayar, CEO, E-commerce Beauty, Nykaa, said the company had partnered with Onesto Labs Private Ltd. to create a new category of nutraceuticals and wellness products under Nudge Wellness Private Ltd.
“This partnership with Onesto Labs is one among a slew of Nykaa’s recent partnerships with homegrown D2C brands, aimed at bolstering the early-stage beauty and lifestyle ecosystem and building the next generation of brands specializing in sustainable and inclusive products,” he said.
Onesto Labs was founded by Rohit Chawla, Sifat Khurana, and Vimal Bhola in 2018. This transaction is expected to close in June 2022. Nykaa Fashion said the acquisition of the Indian activewear brand Kica would strengthen its active-wear play. The transaction is expected to close in June 2022.
Falguni Nayar, founder & CEO, Nykaa said, “Nykaa will play a role of strong support engine and encourage the brands’ freedom and individuality.”
“Kica, along with other consumer brands like Nykd, Pipa Bella, Twenty Dresses, RSVP, Gajra Gang, IYKYK, and Likha, is an integral part of Nykaa Fashion’s market expansion this year,” the company said.