Marico Ltd. is set to acquire a 60% stake in Cosmix Wellness Pvt., the owner of the digital functional wellness brand 'Cosmix' for Rs 226 crore, according to an exchange filing from the company on Wednesday.
The firm will acquire 60% of Cosmix Wellness' paid-up share capital via secondary buy-out that is expected to be completed within 30 days. The deal is expected to expand the firm's presence in premium food and nutrition categories by adding a "digital-first" functional wellness brand with a "distinct and compelling proposition" in its portfolio.
The company has the right to acquire the remaining stake in Cosmix Wellness after the end of fiscal 2029 for an amount that will be determined at that time, after taking into consideration the achievement of certain milestones, required approvals and terms and conditions under the definitive agreements. the release said.
Cosmix offers a range of plant-based protein powders, fermented yeast protein powders, functional superfood blends and has introduced products like plant-protein pancake mixes and plant-protein bars.
'Functional Wellness' refers to a form of alternative healthcare where the root causes of physical ailments and illnesses are addressed over time instead of treating the symptoms by the time the illness makes its presence felt in the individual.
Critics have stated that this form of alternative medicine may push expensive supplements with limited scientific review regarding its purported benefits and it might cross into disinformation territory.
"The investment in Cosmix brings another strong and differentiated brand into our digital-first portfolio. We foresee immense potential in the wellness and plant‑based nutrition space, and Cosmix has already demonstrated deep consumer resonance with its best-in-class, innovative offerings," Saugata Gupta, managing director and chief executive officer, Marico Ltd. said.
Shares of Marico Ltd. closed 0.38% lower at Rs 733.40 apiece on the NSE, compared to a 0.19% higher in the benchmark Nifty.
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