Consumer goods giant Hindustan Unilever is in advanced talks to acquire four-year-old direct-to-consumer startup Minimalist for up to $350 million, according to two people familiar with the matter. It is said that it is in progress.
The acquisition will continue the Unilever subsidiary’s active buying in India, following its expansion into the health and wellness category with the acquisition of Oziva and Wellbeing Nutrition a year ago.
“In line with our business strategy, we are continuously evaluating various strategic opportunities to grow and expand our business,” a Hindustan Unilever spokesperson said in a statement to TechCrunch.
The acquisition will also expand the skincare portfolio of Unilever’s Indian subsidiary, giving it a market capitalization of over $65 billion. HUL operates brands including Dove, Pond’s, Lakme, Sunsilk, Lux and Lifebuoy.
Talks are ongoing, but the deal has not yet been finalized. Officials requested caution and requested anonymity because the deliberations are private.
According to the Mint newspaper, Minimalist attempted to attract interest from venture capital firms in the second half of last year to raise about $300 million worth of capital.
Jaipur-based Minimalist is a skincare brand that sells products ranging from sunscreen to hair repair serums. Revenue increased 89% to $40.8 million in the fiscal year ended March 2024. The startup also said it was profitable.
Hindustan Unilever is an investor in Minimalist, having participated in the startup’s Series A round in mid-2021 through its venture arm Unilever Ventures. Peak XV was Minimalist’s first institutional investor, leading the startup’s seed funding in late 2019.
Minimalist and Peak XV Partners did not respond to requests for comment.
