IMCD Acquires Indian Beauty Ingredients Distributor Valuetree

Reported by India Chemical News, IMCD NV (IMCD), a leading global specialty chemicals and ingredients distribution partner and formulation manufacturer, announced on January 10 that it has acquired a 70% stake in Valuetree Ingredients Private Limited (Valuetree) to expand its beauty and personal care business in India.

Founded in 2005, Valuetree is a well-established ingredient supplier to the beauty and personal care markets. It offers a broad portfolio of specialty ingredients and provides customers with formulation and technical support through its in-house applications laboratory. Valuetree has a team of 44 employees and generated revenue of €48 million for the financial year ending March 31, 2023.

Narendra Varde, managing director of IMCD India and Bangladesh, said that as India's beauty and personal care market continues to achieve double-digit growth, the acquisition of Valuetree is fully in line with the company's global strategy. The move will enhance the company's operational and development capabilities and enrich its product portfolio, thereby strengthening IMCD’s position as a leading solutions provider in India.

"In a market dominated by large enterprises and now witnessing the emergence of direct-to-consumer brands, our focus has always been on being customer-centric and delivering innovative solutions. We are excited to partner with IMCD on the next phase of Valuetree’s development." Valuetree co-founders Shailesh Karwa and Sharad Dalmia said in a joint statement.

The transaction will be conducted in two tranches, with IMCD acquiring 70% of the equity capital from the founders now and the remaining 30% to be acquired in 2025. After the first transaction closes, Valuetree's founders will continue to lead the company.