Beardo, men’s grooming brand has sold its 45% stake to the consumer goods company, Marico. The financial figure of the deal was not disclosed as of yet. The announcement was made public by a press release sent out by Beardo. The equity is set to be transferred to Marico over a period of two years. It will be primarily in form of primary infusion and secondary buyouts.
With the move, Marico seems to have strengthened its position in the grooming market for men, which is valued at ₹3200 Crores.
Commenting on the development, Marico in a statement said that the grooming market is growing in double digit percent and it is more of a strategic investment for the company. It further added that the market worth ₹3200 crores is where Marico has set its eye for the coming years. This investment is a stepping stone for the company to register the presence and grow its dominance in the segment in the years to come.
Based in Ahmedabad and owned by Zed Lifestyle, Beardo was founded in 2015 by Priyank Shah and Ashutosh Valani. It provides products catering to the grooming needs of men including beard gel, beard washes, face wash, wax, beard comb etc.
The company sells its products through major eCommerce sites including Amazon, Flipkart, Snapdeal and Nykaa. 75% of its revenue comes from the eCommerce websites and for the rest of the revenue, the company has tied up with the salons across Surat, Ahmedabad, Pune, Mumbai and Delhi.
Backed by Bollywood actor Suniel Shetty, Beardo had raised $500,000 in seed funding from Venture Catalysts in September 2016. Other players in the segment include Ustaraa and The Man Company.