The acquisition is aimed at strengthening the company’s beauty and wellbeing portfolio towards evolving and higher growth demand spaces
The Competition Commission of India (CCI) has given its approval to Hindustan Unilever or HUL, a fast-moving consumer goods (FMCG) major’s proposal to acquire Uprising Science, the parent company of the beauty and personal care brand Minimalist.
The acquirer is involved in the business of manufacture and sale of home care products, beauty and personal care products as well as food products and refreshments. CCI stated that target is engaged in the manufacture and sale of beauty and personal care products such as skin care and body care products, baby care products and hair care products.
The Commission informed, “The proposed transaction involves the acquisition by Hindustan Unilever (acquirer/HUL), of 90.5 per cent shareholding of Uprising Science (target), with eventual acquisition of the remaining 9.5 per cent shareholding of the target in about two years from the completion date as per the terms set out in the share purchase and subscription agreement executed by and between HUL and the Target.”
The acquirer has over 50 brands spanning distinct categories and includes Lux, Surf Excel, Lakme, Knorr, Kwality Wall’s, Brooke Bond, among others, as per the official statement by the body.
Earlier, Hindustan Unilever had signed and executed the share purchase and subscription agreement for acquisition of 90.5 per cent of shareholding of Uprising Science comprising a secondary buyout and a primary infusion, with an eventual acquisition of the remaining 9.5 per cent of Uprising’s shareholding.
The company, in an exchange filing in January, stated that the deal involves a cash consideration of Rs 2,670 crore to sellers at a pre-money enterprise valuation of Rs 2,955 crore and a primary infusion of Rs 45 crore, to acquire 90.5 per cent shareholding in Uprising.
