Consumer products company Marico Ltd. announced on Friday that its wholly-owned subsidiary – Marico South East Asia Corporation will acquire 100 percent stake in Vietnamese beauty and personal care company Beauty X for a cash consideration of US$21 million.
Incorporated in Ho Chi Minh City, Beauty X is known for its personal care brands Purite de Provence and Oliv, and has a range of premium and differentiated hair care and skin care products.
In local currency, the transaction will be worth 493 billion Vietnamese Dong. The deal is expected to be completed by March 31, 2023, subject to regulatory approvals and customary closing conditions.
The transaction will help Marico to expand its presence in the female beauty and personal care segment in a high-growth country like Vietnam, along with realising various operational synergies.
Post completion of the transaction, Beauty X will become the subsidiary of Marico South East Asia Corporation as well as that of the parent company.
Over the last three calendar years, Beauty X had revenue worth US$7.3 million, US$10.3million and US$9.9 million respectively.
The acquisition comes just a day after Hindustan Unilever announced a foray in the health and wellbeing segment through two strategic investments in OZiva and Wellbeing Nutrition.
Shares of Marico ended 2.64 percent higher at us$3.7.