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(Sharecast News) - France's L'Oreal said on Thursday that it has agreed to buy a majority stake in Indian personal care company Innovist.
Financial details were not disclosed but L'Oreal said the strategic move marks a major step in its expansion in India's fast-growing beauty industry and complements its portfolio with local brands tailored for Indian consumers.
Founded in 2019, Innovist is one of the fastest growing science-led and digital-first personal care companies in India and behind brands such as Bare Anatomy and Chemist at Play.
Innovist's popular skincare and hair care products are available across its own direct-to-consumer platforms, major e-commerce and quick commerce channels, and offline retail partnerships nationwide.
Under the agreement, the Innovist founding team will remain in place, as minority shareholders, and will continue to operate and scale the business in collaboration with L'Oral India. The Innovist brands will be part of L'Oral's consumer products division portfolio.
L'Oral will start consolidating Innovist sales once the deal closes, which is expected to be in the next few months. As part of the agreement, L'Oral has also secured rights to buy out the minority shareholders in full.
Chief executive Nicolas Hieronimus said: "Our investment in this innovative Indian start-up is a clear testament to our unwavering commitment to expanding L'Oral's footprint in India.
"By bringing together the very best of L'Oral's global expertise with Innovist's high-performing, science-led products and deep-rooted understanding of the Indian consumer, I believe we are poised to shape the future of beauty in this dynamic market."
At 1025 BST, the shares were down 0.9% at 378.80.
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