Hindustan Unilever forays into health and wellbeing segment

8 Dec 2022 , 05:55 PM

Hindustan Unilever announced its foray into the Health & Wellbeing category through strategic investments in Zywie Ventures (OZiva) and Nutritionalab (Wellbeing Nutrition). Health & Wellbeing is a fast-evolving category in India with a total potential market size of c. Rs 30,000 crore. Launched in 2016, OZiva is a leading plant-based, and clean-label consumer wellness brand focused on the need spaces such as Lifestyle Protein, Hair & Beauty Supplements and Womens health. It is a digital-first brand with an omnichannel approach, available on its website (D2C), digital marketplaces, and offline stores where its presence is growing. The company has a strong in-house R&D team comprising PhDs, Phyto-chemists and Biotechnologists. HUL will acquire 51% equity stake through a combination of primary infusion and secondary buyouts. The balance 49% will be acquired at the end of 36 months based on pre-agreed valuation criteria. The current OZiva team led by Aarti Gill and Mihir Gadani will continue to operate all functions of the business. HUL will have representation on the Board and will provide necessary capabilities and support to scale up. Founded in 2019, Wellbeing Nutrition has pioneered disruptive formats in science-backed, benefit-led clean products in Health & Wellbeing. Its product range includes Melts (Oral Thin Strips), Slow (Slow-Release capsules) and Marine Collagen powder focused on need spaces such as Beauty, Everyday Health, Gut Health and Sleep. They have presence in D2C, digital marketplaces and are expanding in offline retail channels. HUL will acquire 19.8% equity stake in the company through a combination of primary infusion and secondary buyouts. The current Wellbeing Nutrition team led by Avnish Chhabria will continue to operate all functions of the business. HUL will be represented on the Board. Both these transactions are expected to be completed in the next 1-3 months, subject to customary closing conditions.Powered by Capital Market – Live News