Reliance Retail Ventures Ltd (RRVL) acquired a controlling stake in Insight Cosmetics, a makeup and personal care brand, said two people aware of the deal. This marks the entry of the multi-billion Mukesh Ambani-owned company into the cosmetic industry.
The deal is said to be valued at $10-15 million, according to sources.
Insight Cosmetics was launched by Dinesh Jain, a Mumbai-based entrepreneur in 2001. The brand is said to have a distribution presence across 20 states. The said brands’ products are further sold at more than 12,000 retail and novelty stores across the country.
Insight Cosmetics reportedly has more than 350 stock keeping units and primarily sells nail polish, lipstick, mascara, eyeliners, eyeshadows, foundations, concealers, lip gloss, and makeup brushes, among other products. Moreover, it retails its products via more than 10 e-commerce portals.
The said deal is in line with the strategy of Reliance Retail Ventures Ltd (RRVL), to expand its beauty and personal care business. The same to take place mostly through acquisitions and taking on incumbents like Nykaa, Myntra and Purplle, using an omnichannel approach to market the beauty products.
RRVL has also set a key focus on numerous brands in apparel, footwear, beauty, and personal care categories, as per the industry analysts. These brands will majorly be in the mass premium category. Moreover, the company is set to introduce 400-450 large-format stores to retail the brands acquired along with a few in-house labels, stated another person tracking RRVL’s inorganic strategy.
In May, RRVL was reportedly in advanced stages of talks to acquire a controlling stake in a Mumbai-based women’s footwear brand. In March, RRVL bought an 89 percent stake in Purple Panda Fashions Pvt. Ltd, which owns and operates women-focused innerwear and loungewear brand Clovia. This was all a part of Reliance’s strategy to get a stronger foothold in the organized fashion market, while also following its investments in numerous home-grown labels such as Abraham & Thakore and Anamika Khanna.