Nykaa, India’s leading beauty e-commerce platform, has announced the completion of its acquisition of a majority stake in clean beauty brand Earth Rhythm, marking a significant step in the company’s strategy to expand its footprint in the rapidly growing clean beauty segment. This acquisition comes after Nykaa initially invested in Earth Rhythm with a minority stake in 2022, through a combination of primary and secondary transactions.
Earth Rhythm, a brand known for its commitment to sustainability and natural ingredients, has gained a loyal customer base with its eco-friendly, vegan, and cruelty-free beauty products. The brand’s focus on transparency and clean formulations aligns well with the growing consumer preference for more ethical and conscious beauty choices.
Adwaita Nayar, co-founder of Nykaa and CEO of Nykaa Fashion and Beauty Brand, expressed enthusiasm about the acquisition, calling Earth Rhythm a “strategic addition” to Nykaa’s expanding portfolio. She highlighted the potential of the clean beauty category, which continues to gain traction among conscious consumers. “Earth Rhythm represents an exciting addition to our owned brands portfolio, and it presents an opportunity to expand our play in the clean beauty space, a category with immense long-term potential,” Nayar said.
The clean beauty market has seen rapid growth in India, driven by an increasing awareness about the environmental and health impacts of synthetic ingredients. Consumers are increasingly seeking products that not only deliver results but also align with their values of sustainability, ethical sourcing, and cruelty-free practices. Earth Rhythm’s portfolio includes skincare, haircare, and wellness products that meet these exacting standards.
With this acquisition, Nykaa looks to strengthen its position as a leader in India’s beauty and personal care space by offering a wider range of products that cater to the growing demand for clean, sustainable beauty options. The company has already established itself as a key player in the beauty industry through its successful marketplace model, which features both international and homegrown beauty brands. By bringing Earth Rhythm into its fold, Nykaa further solidifies its commitment to promoting inclusive beauty, while also tapping into the expanding eco-conscious consumer base.
This acquisition is part of Nykaa’s broader strategy to diversify its business and bolster its own brand portfolio. The company has previously made moves to acquire stakes in several beauty brands, and this latest acquisition highlights the company’s confidence in the long-term growth of the clean beauty segment in India.
As Nykaa continues to expand its presence, the acquisition of Earth Rhythm marks a key milestone in its growth journey, particularly as the company focuses on capitalizing on the increasing demand for products that prioritize both performance and sustainability.
With the clean beauty sector poised for further growth, this acquisition places Nykaa in a strong position to capture more market share, offering consumers a wider array of choices that align with their beauty and ethical values.
