The two firms declined to comment on the deal size, but in 2019, the perfume firm had invested ₹100 crore in Kama for a minority stake.
Kama Ayurveda’s co-founder and chief executive Vivek Sahni had told Mint last month that it would add 10 stores this fiscal year to its existing 57 in India in locations like Bareilly, Thiruvananthapuram, Ranchi, Siliguri, Jodhpur, and Goa. He said the company will also expand to the UK in 2023.
The company also works on a shop-in-shop model and has 70 such outlets with retailers like Shoppers Stop. It shut down eight stores during the pandemic in cities like Raipur and Amritsar where the outlets were present at airports.
Puig’s said it has invested in the brand to strengthen its wellness category since the firm is operating in the ‘Indian medical science of Ayurveda’. “Puig will maintain its commitment to boost the brand’s leadership in the Indian market and continue to support the further expansion of Kama Ayurveda into global markets as well as offering expertise in brand building, skincare technology and perfumery," the company said in a statement.
“India represents an incredibly exciting opportunity for Puig, and with this investment we will continue our strategy of consolidating Kama Ayurveda’s strong domestic presence and of pursuing compelling opportunities in key markets abroad," Marc Puig, chairman and CEO of Puig, said.
“Together we will bring the experience of authentic Ayurvedic beauty and wellness to new audiences," Sahni said.
According to a ResearchAndMarkets.com, the Indian Ayurvedic products market reached a value of ₹515.5 billion in 2021 and is projected to reach ₹1,536.9 billion by 2027, at a compound annual growth rate of 19.78% till 2027.
In 2021, Puig recorded sales of €2,585 million. It sells its products in more than 150 countries and has offices in 29 of them.
