The Good Glamm Group acquired a majority stake in Organic Harvest, an organic beauty and personal care brand.
According to a source with knowledge of the development, the transaction values Organic Harvest’s enterprise at Rs 275-Rs 280 crore. The financial terms of the deal were not disclosed by Good Glamm, a direct-to-consumer beauty and personal care brand. According to the source, Organic Harvest is valued at around 4-4.5 times its annualised revenue run rate.
According to a senior company executive, Good Glamm will invest an additional Rs 75 crore in Organic Harvest as primary capital to fuel its growth plans.
This is Good Glamm’s seventh acquisition in the last year, and it marks the company’s entry into the organic beauty and personal care market. Organic Harvest is Good Glamm’s first offline acquisition, having been bootstrapped to date.
“Together, we will now have around 50,000 points of sales and Organic Harvest will help Good Glamm expand to the overseas markets,” said Darpan Sanghvi, founder and chief executive of The Good Glamm Group.
Organic Harvest has a current revenue run rate of Rs 75 crore, which is likely to grow to Rs 250 crore over the next 15 months, he said. “We plan to invest another Rs 75-Rs 100 crore, depending on the growth requirement in Organic Harvest over the next 15-18 months.”
Organic Harvest, founded in 2013 by Rahul Agarwal, is an all-organic brand that offers skincare, haircare, body care, and essential oils made from plant-based ingredients and raw materials certified by global organisations such as Ecocert. With 25,000 points of sale across India and seven other countries, it has grown primarily as an offline channel.
“For us, it was always about taking the concept of organic personal care products to the substantial mass population of India and across the globe. With this partnership, our aspiration to become the world’s largest organic personal care company, seems to be easily achievable,” Agarwal, also the chief executive of Organic Harvest, said.
The Good Glamm Group is valued at more than $1.2 billion and is backed by investors such as Warburg Pincus, Prosus Ventures, L’Occitane, Bessemer Venture Partners, Accel, and Amazon, among others. Its brands include MyGlamm, The Moms Co, St Botanica, Sirona, and Organic Harvest, as well as content platforms POPxo, ScoopWhoop, and BabyChakra. It was founded by Sanghvi, Priyanka Gill, and Naiyya Saggi. Good Glamm has invested in the Good Creator Co, which was formed by the spin-off of Plixxo, MissMalini, Winkl, and Vidooly, its influencer companies.
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