THE WHAT? Akums Drugs and Pharmaceuticals has agreed to acquire the manufacturing business of Oriflame India for ₹56 crore, marking its entry into the colour cosmetics manufacturing sector and expanding its contract manufacturing capabilities beyond pharmaceuticals.
THE DETAILS The acquisition, through Akums’ wholly owned subsidiary Pure and Cure Healthcare, includes manufacturing facilities in Roorkee and Noida, together with a leased warehouse in Noida. The sites manufacture skincare, hair care, wellness and colour cosmetics products, and are equipped with European production equipment and Halal-certified facilities that support export opportunities. The transaction excludes Oriflame India’s trademarks, marketing and sales operations, with completion expected by the end of August, subject to customary conditions.
THE WHY? The deal reflects growing investment in India’s cosmetics manufacturing sector as contract development and manufacturing organisations (CDMOs) diversify into higher-growth beauty categories. It also enables Akums to strengthen its manufacturing capacity for both domestic and international beauty brands while expanding its position in the skincare, hair care and colour cosmetics supply chain.
Source: Economic Times
