Hindustan Unilever Limited (HUL) acquires OZiva and Wellbeing Nutrition

Tags: Economy/Finance National News

Hindustan Unilever Limited (HUL)

Fast-Moving Consumer Goods (FMCG) major Hindustan Unilever Limited (HUL) announced the acquisition of two D2C brands - OZiva and Wellbeing Nutrition. With the acquisition, the company will foray into the health and well-being category. 

Important facts

  • HUL will acquire 51% equity interest in OZiva for Rs 264 crore in the first tranche, while the remaining 49% will be received at the end of a three-year period based on a pre-agreed valuation.

  • In addition, HUL will buy a 19.8% stake in Wellbeing Nutrition for approximately Rs 70 crore.

  • These strategic investments allow HUL to enter the fast-growing health and wellbeing category.

  • The deal also marks the beginning of the brand's consolidation in the direct-to-consumer (D2C) market.

  • Last year, Tata Consumer acquired a 100% stake in Kottaram Agro Foods – manufacturer of the Soulfull brand of millet-based breakfast cereals and snacks.

  • The vegetarian food category is an emerging segment in India and is worth around 2,000 crores as over 250 startups have entered this space in the last few years.

  • The health and wellness segment in India has a total potential market size of Rs 30,000 crore as per Euromonitor data.

Please Rate this article, so that we can improve the quality for you -