Join the WOOB Community TODAY!
Register Now!
Saturday, October 31, 2020

Lotus Herbals buys out cosmetics company SoulTree

Premium cosmetics maker Lotus Herbals has acquired organic skin-care and make-up company Vedicare Ayurveda, owner of the SoulTree brand, for an undisclosed amount.

This is the first acquisition for Lotus Herbals, which makes a range of skin-care, sun protection and make-up products.

Lotus Herbals joint Managing Director, Nitin Passi confirmed the development but declined to divulge the size of the deal.

“With the acquisition of SoulTree, we have forayed into the premium ayurvedic wellness space with a brand that resonates with modern consumers and has international organic certifications,” he said.

- Advertisement -

Information posted on the company’s website said SoulTree is the world’s first certified organic ayurvedic wellness and beauty brand, and that it supports women village farmers in Uttarakhand by sourcing organic herbs for its ayurvedic products. The over one-decade-old homegrown SoulTree, which sells organic make-up and skin-care products, has an offline presence in over hundred outlets in India and international markets including Europe, Japan and South East Asia, it said. SoulTree claims to be the only brand in India to be certified annually by European Certification Agency BDIH of Germany.

Lotus Herbals, which has been actively wooed by both domestic and multinational personal care companies in the past including L’Oreal and Dabur, had begun a formal process of scouting for mid-sized acquisitions mid last year. The New Delhi-based company was also considering offloading a minority stake in the company or roping in a private equity investor to fund the acquisition.

Passi said the strategic buy-out will give Lotus captive footprint in the rapidly growing ayurveda space. “We will maintain independent brand identities for SoulTree and Lotus,” he said.

Lotus competes aggressively with Procter & Gamble’s Olay, L’Oreal and Hindustan Unilever’s Pond’s in the premium skin-care space. It has a share of 27% in the Rs 2,000 crore premium skin-care segment, industry executives said, citing data by researcher Nielsen. Apart from the Lotus franchise, the company sells high-end skincare products under the brand Ikkai.

SoulTree founder, Vishal Bhandari said the acquisition by Lotus Herbals would pave the way for SoulTree to become a leading organic ayurvedic brand in India and globally.

Sales of cosmetics and make-up categories have been severely dented in the first few months of the nationwide lockdown, called by the government in March-end to curb the spread of the Covid-19 virus. However, with curbs being gradually eased over the past month, industry executives said sales of skin-care and basic make-up products have picked up.

- Advertisment -

Latest News

Deliciuos Delight!

Swad, is beyond a regular packaged food brand. It is food filled with taste of love, celebrations, warmth and happiness; power-packed with...

A way to a healthy lifestyle

Basil Group is a family owned business with an established track record in the cotton and chemical industry. They keep identifying the...

Leading business collaborative platform for FMCG, Trace One is leveraging its extensive industry reach with Trace One Marketplace

The pressure on both retailers and CPG firms to meet the constantly changing needs of a demanding consumer base has never been...

Principles of Great Packaging Design.

“Jo dikhta hai woh bikta hai” (What is visible, sells) goes the popular adage. Packaging design’s primary job is to make the...

Safety concerns, ease of online buying to keep Mumbai shoppers away from stores in festive season

Concerns about safety amidst the Covid-19 pandemic along with better pricing and ease of return and refund on buying online may keep...

BigBasket bets on in-house segments, plans to expand private label cart

With demand for private labels seeing a surge on its platform, online grocery BigBasket is betting big on the in-house segment with...

“Our focus is to be an omnichannel retailer,” says Shashwat Goenka, Sector Head (FMCG & Retail), RP – Sanjiv Goenka Group

Spencer’s, the oldest modern retail brand in India, is the pioneer in hypermarkets in India, having introduced the first one in 2001....

Marico logs volume growth, notices revival in consumer demand in Sept quarter

FMCG major Marico said it has witnessed a partial revival in the consumer sentiment in the second quarter of the current fiscal...

Five things on consumption shift during covid

As India moved to prevent the spread of Covid-19 with a lockdown late March, household budgets and consumer behaviour have since shifted....

Festival season sales: Over 50% consumers to shop online, says survey

About 51% of consumers doing festive shopping this year will use e-commerce sites and apps as their primary channel, a sizable change...