This comes on the back of a spate of consolidation in the broader D2C segment led by The Good Glamm group which has acquired a bunch of smaller brands in the past year.
The Good Glamm Group, which owns the MyGlamm brand
, acquired celebrity and influencer talent management network MissMalini Entertainment in a cash and stock deal, we reported earlier this month. This was the
fifth acquisition by the group this year after The Mom’s Co, Baby Chakra, ScoopWhoop and PopXo.
Post-acquisition, Momspresso will continue to function independently with its founding team.
CEO Vishal Gupta, CTO Asif Mohamed and COO Prashant Sinha, will lead the operations and manage the business. All three of them are also co-founders of the company.
Momspresso will use the fresh capital received through the acquisition towards enhancing the team, building data-science capability and investing in technology to drive scale and efficiencies.
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“We have experienced exponential growth due to our constant connect with community and consumers and the partnership with Momspresso will further scale up our creator network,” HCPL co-founder and CEO Varun Alagh said.
In July, Mamaearth had
closed a $50 million funding round led by Belgian investment fund Sofina, valuing the company at $730 million, one of the most valued new-age D2C brands in the country.
Momspresso’s Gupta said, “together, we are uniquely positioned to unlock synergies in creating a compelling content to commerce playbook”.
Boutique investment bank Four-S-Services was the advisor on the deal.
New-age, digital-first personal care and beauty brands such as Purplle, Sugar Cosmetics, Mamaearth and Plum Cosmetics have attracted the interest of risk investors while the largest player, Nykaa, listed last month at a market capitalisation of more than Rs 1 lakh crore. The Covid-19 pandemic has boosted the business of online-led brands as it has hastened digital adoption by consumers and led them to increasingly buy these products online.
