Hindustan Unilever Limited (HUL), one of India’s leading FMCG giants, has taken a major step in the direct-to-consumer (D2C) space with its acquisition of the homegrown skincare brand Minimalist.
The deal, valued at INR 2,955 crore (approximately $350 million), positions HUL to strengthen its presence in the rapidly growing D2C market.
HUL’s acquisition involves a 90.5% stake in Minimalist through a cash consideration of INR 2,670 crore as a secondary buyout, coupled with a primary infusion of INR 45 crore into the company. The remaining 9.5% of shares held by Uprising will be purchased within two years following the transaction’s completion.
According to filings with the NSE, the acquisition is expected to be finalized by the first quarter of FY 2026, marking one of the largest deals in India’s D2C sector in recent years.
Launched by entrepreneurs Mohit and Rahul Yadav, Minimalist has gained significant traction in the skincare and haircare markets. The brand is known for its range of serums, toners, and moisturizers, offering consumers high-quality, ingredient-focused products.
The company has experienced exponential growth, with its revenue jumping from INR 184 crore in FY23 to INR 347 crore in FY24. Despite increasing marketing expenditures, Minimalist’s profits more than doubled during the same period, reaching INR 10.83 crore. The brand also boasts an annual revenue run rate (ARR) of INR 500 crore, a remarkable milestone achieved within just four years of its inception.
Post-acquisition, founders Mohit and Rahul Yadav will remain at the helm of the company for the next two years, ensuring continuity and driving the brand’s growth under HUL’s umbrella.
This acquisition reflects HUL’s strategic focus on expanding its portfolio in high-growth categories. By integrating Minimalist into its operations, HUL gains access to a fast-growing D2C skincare brand that resonates with younger consumers, thanks to its transparency and efficacy-driven approach.
Minimalist had previously raised $17 million in funding, including a Series A round led by Peak XV Partners (formerly Sequoia Capital India), which holds a 27.9% stake. The company’s valuation has surged from INR 565 crore ($65 million) to the current INR 2,955 crore, underscoring its rapid rise in the market.
For HUL, this acquisition is part of a broader strategy to diversify its offerings and tap into the booming D2C sector. With Minimalist’s strong brand identity and loyal customer base, HUL aims to capitalize on the rising demand for skincare products that prioritize simplicity and effectiveness.
The deal not only marks a milestone for Minimalist but also highlights the growing value of India’s D2C ecosystem, as legacy FMCG players increasingly invest in innovative and disruptive startups.
As the acquisition process unfolds, HUL and Minimalist are set to redefine the landscape of the skincare industry, combining global scale with local insights to deliver exceptional value to consumers
