Beauty and skincare brand, VLCC is foraying into specialised men’s grooming. The company is buying D2C men’s grooming brand Ustraa through a strategic merger deal.
One of India’s beauty and skincare company, VLCC is taking over direct-to-consumer men’s grooming business Ustraa via a mixture of secondary buy-out and share swap.
After the merger, according to a press release from the firm, VLCC will increase its investments to hasten the growth of Happily Unmarried Marketing’s Ustraa brand.
The purchase expands the platform’s potential for new generation digital commerce and product innovation, according to the business, and represents VLCC’s entry into the niche market of men’s grooming.
Rahul Anand, who founded Ustraa, and Rajat Tuli will continue to lead the brand’s expansion and advance VLCC’s direct-to-consumer strategy. InfoEdge, Wipro, 360 One (formerly IIFL Ventures), who have already invested in Ustraa, will hold stakes in VLCC.
According to VLCC CEO Vikas Gupta, “this acquisition marks VLCC’s foray into the men’s grooming market, and our aim is to accelerate Ustraa’s growth journey by leveraging our pan-India offline selling. Ustraa’s digital expertise will help VLCC’s product firm grow in new commerce.”
According to the statement, Ustraa, which was established in 2015 by Rahul Anand and Rajat Tuli, has 2.2 million users on its app and provides perfumes, hair care, face, and beard care items.
Rahul Anand and Rajat Tuli, the founders of Ustraa, stated, “VLCC’s management, supported by Carlyle globally, brings the resources which can enable us to significantly grow our brand further and expand the range of products.”
According to InfoEdge’s Sanjeev Bikhchandani, who has invested in Zomato and Policybazaar, synergies from the VLCC-Ustraa combination might be utilized.
Global investment giant Carlyle formed a strategic alliance with VLCC late last year through the purchase of the majority share in the business. Beautycounter, Every Man Jack, and Delhivery, among other consumer and retail businesses, have received investments from Carlyle’s international private equity firms in the past. The Vandana and Mukesh Luthra-founded VLCC offers health and beauty management services in addition to selling skincare, cosmetics, and wellness items.
