Honasa Consumer Ltd has entered the nutraceuticals segment through the acquisition of a 58% stake in Fluence Pharma Pvt Ltd in a secondary transaction valuing the company at an enterprise value of ₹135 crore.
The company will acquire the remaining 42% stake in two tranches over the next five to seven years, marking a strategic expansion beyond its core beauty and personal care business.
The acquisition forms part of its strategy to build a ₹500 crore nutraceuticals franchise.
Nutraceuticals push
Alongside the acquisition, Honasa Consumer’s Board has approved the incorporation of a wholly owned subsidiary, Honasa Health Pvt Ltd, which will house the company’s business-to-consumer (B2C) nutraceuticals operations. Dheeraj Nagpal has been named CEO for the new venture.
Fluence Pharma markets condition-specific over-the-counter supplements under brands such as Hair Fact, Skin Fact and Pro Fact. The company is known for its patented Cyclical Nutrition Therapy platform and clinically validated formulations.
Management comment
“The beauty and personal care landscape is entering a new era where consumers are increasingly seeking holistic, inside-out solutions that address beauty concerns at their root,” said Honasa Consumer Co-founder and Chief Executive Officer Varun Alagh.
“While the last decade was shaped by topical actives, we believe the next decade will be defined by the convergence of science-backed skin and hair care and nutraceuticals,” he added.
“Fluence has built a strong scientific foundation through its patented Cyclical Nutrition Therapy, setting a benchmark for clinically validated efficacy. Honasa Health will create a consumer-first nutraceuticals franchise that complements our science-led beauty portfolio.”
Strategic fit
“For the past ten years, we have focused rigorously on grounding our portfolio in science and earning the trust of the medical fraternity,” said Fluence Pharma Chief Executive Officer and Co-founder Amit Bhusari.
“To unlock the true potential of our proprietary science, however, we needed a partner who could take these clinical solutions to a wider consumer base and Honasa Consumer brings the perfect opportunity and infrastructure for us,” he added.