KKR spends $625m to acquire stake in Indian cosmetics firm from Sequoia, founders

Global investment firm KKR has invested US$625 million to gain controlling rights in Indian personal care and beauty products major Vini Cosmetics.

Vini’s founder group, led by its joint managing directors Darshan Patel and Dipam Patel, and Sequoia Capital divested their majority stake in the cosmetics firm as part of the deal, which is expected to close in July, subject to customary closing conditions.

Vini chairman Darshan Patel / Photo credit: Vini

The two co-founders will continue to hold a significant stake in Vini and will work with KKR through its next phase of growth, the company said in a statement. Darshan will continue to serve as the chairman of Vini’s board while Dipam will be appointed as vice-chairman.

In addition, existing investor WestBridge Capital will also acquire a stake from the founder group to increase its shareholding.

Founded in 2010, Vini is a manufacturer and distributor of deodorants, cosmetics, and toiletries that are sold locally and internationally through a network of trade channels covering 50 countries. It has built one of the largest personal care product distribution networks in India, with roughly 700,000 points of sale and 3,000 dealers.

“KKR has a proven track record of investing in the growth of some of India’s most innovative and disruptive homegrown champions, as well as in leading consumer and personal care companies globally,” said Darshan. “We look forward to leveraging their global platform, resources, and operational expertise to take Vini to the next level by expanding our ecommerce platform, growing new product categories, and broadening our distribution networks.”

KKR made the investment through its Asian Fund IV. It marks the company’s latest investment in Indian companies, following the ones it made in Lenskart, Reliance Jio, and Reliance Retail.