The pursuit of beauty: What explains Damani's big bet on Health and Glow?
Nykaa have dominated the sector in the recent past, it is increasingly seeing consolidation of brands or bigger conglomerates making an entry. The latest is Radhakishan Damani, billionaire investor and founder of Avenue Supermarts that runs the D-Mart chain.
He has reportedly acquired Health and Glow, a Bangalore-based beauty and personal care retail chain from the family offices of Rajan Raheja and Hemendra Kothari for ?700-750 crore. Launched in 1997, Health and Glow opened its first brick-and-mortar store in Chennai.
The business now has a network of over 175 stores located across Indian cities including Bengaluru, Mangaluru, Pune, Mumbai, Cochin, Kolkata, Bhopal, Bhubaneshwar, and Hyderabad among other locations. In FY22, the company clocked ?200 crore topline and is expected to close FY23 with Rs 370 crore of sales with a 15% Ebitda margin.India's beauty boom Rising income levels, urbanisation, Internet access, rise of social media influencers and a large share of the young population are factors leading to a beauty boom in India that is projected to reach $17.4 billion by 2025 from $15.6 billion in 2022, a report by researcher Euromonitor said.
In a 2021 report, global market research platform Statista said that India ranked fourth in revenue generation from the beauty and personal care market, just behind the US, China, and Japan, projecting that online sales would grow 18.2 per cent in the next few years. As per another report by Avendus forecast, the online personal-care and beauty market in India will reach $4.4 billion by 2025.
The report says the number of online beauty and personal care shoppers could increase by over four times — from 25 million in FY20 to 110 million in FY25. Damani is not the only one
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