Exclusive: Honasa Consumer Acquires Majority Stake In Skincare Brand Dr Sheth's
While HCPL has control of the majority stake in Dr Sheth’s, Aneesh Sheth will continue to lead the business and product innovation for the brand
Honasa Consumer (HCPL), the parent company of Mamaearth, and The Derma Co., and the fastest-growing House of Brands for personal care, acquires Dr Sheth’s, a dermatologist-formulated skincare brand designed exclusively for Indian skin by three generations of skin doctors. Through this acquisition, HCPL has control of the majority stake in Dr Sheth’s at a valuation of Rs 28 Cr. The primary round of funds will be directed to accelerate the future growth of the brand.
The products of Dr Sheth’s have been developed with expertise accrued by three generations of accomplished cosmetologists and dermatologists. Sharat Desai, probably India’s first dermatologist, worked to put India on the map for the field of dermatology. Following in the father’s footsteps, his daughter, Rekha Sheth, became India’s first cosmetic dermatologist and one of the preferred dermatologists by Bollywood celebrities. Aneesh Sheth, PhD Pharmacology and an Ivy-league trained cosmetic scientist, founded Dr Sheth’s with the ambition of formulating skincare products using the knowledge aggregated over three generations and bringing the best of nature and science together.
The products are formulated knowing that Indian skin is unique and requires specialized care. The brands’ product portfolio has solutions for skin concerns like pigmentation, acne, dryness, wrinkles, and many others. Some of the popular products by the brand are -Amla VC20 Vitamin C Serum, Haldi and Hyaluronic Acid Sleeping Mask, Cica and Ceramide Overnight Repair Serum, among others. With over 30+ SKUs, the brand has catered to over 200,000 consumers.
Millennials are evolving and there is a growing appreciation for sophisticated ingredients. While they seek comfort in traditional Indian ingredients in skincare, they also want to go beyond the conventional and experiment. Dr Sheth's has identified this void and created a portfolio of products that blend natural ingredients with science-based active ingredients, providing the best of both worlds. With a digital-first approach, Honasa Consumer has established its leadership in understanding millennial consumer behavior and launching and successfully scaling consumer brands with a strong millennial connect. The expertise of Dr. Sheth’s in creating specialized skincare for Indian consumers, coupled with the digital expertise of HCPL, will help scale the business of Dr Sheth’s and further strengthen the leadership of HCPL in digital-first brands. While HCPL has control of the majority stake in Dr. Sheth’s, Dr. Aneesh Sheth will continue to lead the business and product innovation for the brand.
Commenting on the acquisition, Varun Alagh, Co-Founder and CEO, Honasa Consumer said,” Dr. Sheth’s is a brand that is synonymous with heritage and legacy, and we are excited about this partnership as it will help us widen our portfolio offerings under the HCPL umbrella. It will be a symbiotic relationship wherein there will be knowledge sharing across brands and collaboratively building the brand and its product portfolio. Being a house of brands, Honasa Consumer has attained expertise in building millennial brands with a digital-first approach. We will utilize our expertise and proficiency in digital marketing to accelerate the growth and scale growth for Dr Sheth’s and we are confident that we will make it a 100 Cr run rate brand in two years. HCPL & Dr Sheth’s synergize on fundamental ideologies of distinctive product innovation and strong millennial connect, we are confident this collaboration will be a success for consumers and for both brands.”
Honasa Consumer has established itself at the forefront of digital branding and marketing and this acquisition will further strengthen the company’s strength in the millennial personal care segment. Commenting on the partnership Aneesh Sheth said,” We are very excited about the partnership with HCPL - they bring a level of operational excellence that will make our expertise and our products accessible to a wider community. Their experience as a house of brands will also help us optimize our innovation and bring about a great range of skincare that combines the best of both worlds - science and nature. “
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