Earlier in the week, in an official announcement, India-based Home-grown FMCG company Marico revealed that by the current fiscal it aims to announce the acquisition of male grooming brand, Beardo, by implementing secondary buyouts and primary infusion.
Founded back in 2015, Beardo is an Indian company, headquartered in Ahmedabad, it serves customers in the premium men grooming category, and is a profitable brand as per analysts closely following the brand.
Speaking about the plan of acquiring Beardo, the CFO of Marico, Vivek Karve said that within a period of the next 12 months, Marico intends to combine forces with the brand Beardo, while simultaneously operating it under the identity of a separate entity.
Karve also said that eventually, Marico will look to purchase 100 percent of the brand, Beardo.
Furthermore, responding to whether Beardo will be rebranded after its merger with Marico, Karve stated that Beardo has built quite a noteworthy reputation for itself, and Marico will look to capitalize on it and intervene only if necessary, thus it will be operated as a separate company having its own management team.
Back in 2017, as per reports, a strategic investment was made by Marico in the company of Beardo’s original owners, a start-up, Zed Lifestyle. The amount originally invested by Marico still remains undisclosed.
Currently, in the latest annual report published by Marico, it shows that Zed Lifestyle has been termed as an associate-company in which the Mumbai based company has a 42.88 percent stake.
Notably, in recent times, Marico has gone on to focus more towards growing in India’s male grooming category which has a double-digit CAGR and is valued at $36billion which is comparatively still a niche sector.