Radhakishan Damani, the business tycoon behind Avenue Supermarts, has acquired Bangalore’s beauty and personal care retailer, Health and Glow, for a whopping INR 700-750 crore, taking another significant step in his business expansion journey.
As of April 4, 2023, Damani boasts a robust net worth of $15 billion. This recent acquisition from the family offices of Rajan Raheja and Hemendra Kothari marks Damani’s second major purchase following his procurement of Bombay Swadeshi Stores, a prominent retailer with historic roots tracing back to freedom fighters Bal Gangadhar Tilak, Mummohandas Ramji and business magnate JRD Tata.
Launched in 1997, Health and Glow inaugurated its first brick-and-mortar store in Chennai. Over the years, it has blossomed, boasting more than 175 stores sprawled across major Indian cities such as Bengaluru, Pune, Mumbai, Kolkata, and Hyderabad, among others. In fiscal 2022, the company generated an impressive INR 200 crore topline, expected to soar to INR 370 crore in fiscal 2023, promising a 15 per cent Ebitda margin.
According to Euromonitor International, a renowned market research firm, the Indian beauty and personal care market is projected to reach $18.3 billion by 2023 end. Damani’s move into the sector positions him among the likes of Nykaa and other well-funded players that have held sway in the industry.
Despite Avenue Supermarts Ltd’s modest 2.3 per cent YoY net profit increase for the quarter ending June, the company posted a substantial 18 per cent YoY revenue surge. Simultaneously, the firm’s total expenses also swelled by 20 per cent YoY, leading to a slightly higher tax outgo.
Avenue Supermarts, one of India’s most extensive food and grocery retailers, has demonstrated remarkable growth. Beginning with ten stores, the company now operates 327 stores with a retail business area of 13.5 million sq. ft across various Indian states.
This news is based on a report by businesstoday.in.
