L’Oréal is in advanced discussions to acquire a majority stake in Innovist, the parent company behind digital-first brands like Bare Anatomy, Chemist at Play, and Sunscoop, in a deal reportedly valued at around ₹4,000 crore. The potential acquisition reflects a strategic shift by L’Oréal to strengthen its position in India’s rapidly evolving beauty market, particularly as competition intensifies and growth momentum slows.
The move comes at a critical juncture for L’Oréal’s India business, which has seen sales growth moderate to around 5% in FY25, compared to 14% in FY24 and nearly 30% in previous years. Under the leadership of CEO Jacques Lebel, the company is under pressure to regain market share and accelerate growth in a market long considered a key expansion driver. Globally, CEO Nicolas Hieronimus has also acknowledged that India has not met expectations, further underscoring the urgency behind this strategic push.
Founded in 2018 by Rohit Chawla, Sifat Khurana, and Vimal Bhola, Innovist operates a house-of-brands model focused on science-backed personal care products, with a strong presence across e-commerce and quick commerce platforms. The company has demonstrated rapid growth, reporting a 182% jump in revenue to ₹301 crore in FY25 while turning profitable with a net profit of ₹12.5 crore, compared to a loss in the previous year.
The potential deal highlights a broader trend in the beauty industry, where global giants are increasingly acquiring digital-native, high-growth brands to stay relevant with younger, online-first consumers. For L’Oréal, acquiring Innovist could provide not just scale but also access to agile product innovation, data-driven marketing, and stronger traction in emerging channels like quick commerce.
If finalised, the acquisition could mark one of the most significant bets by a global beauty major on India’s D2C ecosystem—signaling that the next phase of growth in the country’s beauty market will be driven by digital-first brands, premiumisation, and consumer-centric innovation.
