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“Founders Will Make More Than 1000 Cr,” Says Aman Gupta On HUL-Minimalist Deal

In an all cash deal, Hindustan Unilever Limited acquired 90.5% stake in Jaipur-based skincare startup Minimalist. boAt’s co-founder Aman Gupta called it a “Big Big Win” for the Indian D2C ecosystem.

By Naina Yadav
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HUL Acquires 90.5% Stake in D2C Beauty Brand Minimalist for ₹2,955 Cr

HUL Acquires 90.5% Stake in D2C Beauty Brand Minimalist for ₹2,955 Cr

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In one of the largest deals in the D2C ecosystem, FMCG major Hindustan Unilever Limited has acquired 90.5 percent stake in the Jaipur-based skincare brand Minimalist. This is an all cash deal for Rs 2,955 crore. 

According to Moneycontrol, the deal will close by the June quarter of the current year. 

boAt’s co-founder and entrepreneur Aman Gupta took to X (formerly Twitter) to laud the efforts of the founders.

“BUILT NOT FROM DELHI, MUMBAI OR BANGALORE, BUT JAIPUR…”

Implying how it is conventional for startups to blossom in major Indian cities of Delhi, Mumbai, and Bengaluru, Aman Gupta said Minimalist was built from the city of Jaipur. 

Calling HUL’s acquisition a “BIG BIG WIN” for the entire Indian ecosystem, the Shark Tank India judge also highlighted how the founders, Rahul Yadav and Mohit Yadav, will make more than Rs 1,000 crore.

He stated, “10x return to investors….Largest all-cash D2C acquisition….Founders held 60% stake will make more than 1000 Crore.”

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D2C VERSUS LEGACY BRANDS

Reflecting how some years ago people were unsure about the potential of the D2C market to scale, Aman Gupta stated that deals like Minimalist’s change the country's future. 

In his words, “A few years ago, many said:

"D2C kitna hi scale kar sakte hai! Asli game toh Legacy brands hi khelte hai"

But deals like this? This is where years of effort and commitment change the country's future.”

He congratulated the founders and the startup's team as well, “D2C brands are no longer "just" challengers. Kudos to the Minimalist team for this milestone.”

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HOW MUCH WILL MINIMALIST’S FOUNDERS MAKE?

Moneycontrol reported that while announcing its quarterly results on January 22, Minimalist stated, “HUL to acquire 90.5 percent stake in the business through secondary buyouts (and primary capital infusion) at a pre-money enterprise value of Rs 2,955 crore.”

Hindustan Unilever Limited will buy 90.5 percent stake in the skincare startup from existing investors like Peak XV Partners and others. 

Minimalist's founders Rahul Yadav and Mohit Yadav hold a majority stake of around 61 percent in the company. 

As per Moneycontrol, at the current enterprise value, the founders will get Rs 1,800 crore.

As for Peak XV Partners (the investment firm which had invested Rs 79 crore in the startup), it will make a return of 10X and bag a total of Rs 895 crore.

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