Marico acquires majority stake in Apcos Naturals that owns 'Just Herbs'
Homegrown FMCG firm Marico Ltd on Wednesday said it has acquired 60 percent stake in Apcos Naturals, which owns Ayurvedic beauty brand ‘Just Herbs’.
The stake will be acquired over a period of two years through primary infusion and secondary buy-outs, a joint statement said without disclosing the deal size.
"The investment is in line with Marico’s strategy to accelerate its digital transformation journey through building scalable digital-first brands, either organically or inorganically, as well as to premiumise its play in personal care," Marico said.
Just Herbs offers Ayurveda-based skin and hair care offerings, made from certified organic ingredients.
"This investment is another step towards our aspiration to build a portfolio of at least three Rs 100-crore plus digital brands within the next three years,” said Marico MD and CEO, Saugata Gupta.
The brand garners majority of business through its own direct to consumers (D2C) website. It is also available on online marketplaces such as Amazon and Flipkart along with its exclusive offline stores in select cities.
"Just Herbs presents an exciting and differentiated opportunity to have a meaningful play in Ayurveda-led beauty categories. The brand has built a healthy consumer franchise on the back of the quality and efficacy of its offerings," Gupta said.
The digital presence Just Herbs has built in a short span of time is impressive, and Marico strongly believes in its potential to reach critical mass over the next couple of years, he said.
Apcos Naturals CEO and Co-founder Arush Chopra said,
"The values, entrepreneurial spirit and agility that define Marico’s culture fits perfectly with our vision for the future. We believe that Marico’s evolved capabilities, processes and systems will complement our ambition to scale up online as well as offline."
Marico has been increasing its presence in digital segment especially in the startup sector. It acquired majority stake in Ahmedabad-based men’s grooming startup Beardo which was initiated in 2017.