- Marico has now completely acquired Beardo, a start-up company operating in the men’s grooming market, by buying 55 percent more shares
Marico has now completely acquired Beardo, a start-up company operating in the men’s grooming market, by buying 55 percent more shares, a move that will allow FMCG to expand its foray into the sector. In an all-cash transaction, Marico acquired the remaining 55 percent shares of Zed Lifestyle, Beardo’s parent company, making it a step-down corporation.
“The investment makes the investment company (Zed Lifestyle) a wholly-owned subsidiary of Marico Ltd and gives Marico full leverage over the investor’s operations,” Marico said in a regulatory filing.
Confirming the change, Venture Catalysts (VCats), an integrated incubator and accelerator platform, also announced a full exit from Zed Lifestyle following Marico ‘s acquisition of its Beardo portfolio company.
“Sensing the enormous potential in the market, Marico earlier this week acquired an additional 55 percent share of Beardo’s parent company Zed Lifestyle Pvt Ltd,” a statement from VCats said.
In March 2017, Marico made an investment in the firm, which amounted to 45 percent of Zed Lifestyle ‘s issued and paid-up share capital.
Beardo, which sells beard oils, beard waxes, soaps, and other men’s facial hair products, had a Rs 78.49 crore turnover in FY 2019-20.
“Our journey to cultivate a future-ready male grooming portfolio and brand in the online and salon space is fast-moving forward,” said Marico CEO Saugata Gupta in a statement during acquiring 45% shares 3 years back.
“We are impressed with the founders and the speed at which the business has grown since its inception,” he said.
Beardo was founded in 2015 by Ashutosh Valani and Priyank Shah and is one of the earliest bets of VCats.
Beardo Oil, Beardo Wash, Beardo Beard & Hair Growth Oil, Beardo Moustache wax, Beardo Ultraglow, and Beardo Brick Soap are part of the Beardo product range. Most of the products are made from natural ingredients and are mostly used for Mustache and Beard to hold well.
All products from Beardo are produced by contract manufacturers using 100 percent natural and organic ingredients. The goods are made from Punjab, Ahmedabad, Delhi, Kanpur, and others. Through their preceding e-commerce stint, the duo was able to contact these producers.
