http://www.managementparadise.com/forums/FAT-PURSE SLIMMERS MAKE VLCC A PE FUND HAUNT
Mayur Shekhar Jha & Chaitali Chakravarty, New Delhi
The Economic Times
Good-looks and slimming company Vandana Luthra Curls and Curves (VLCC) is shedding stake yet again. The company’s coffers are bulging as private equity firm Indivision plans to invest between Rs 90-100 crore in Luthra’s weight loss venture. Earlier, VLCC made a fat sum when Hong Kong-based CLSA Partners invested in the company two years ago.
Indivision’s proposed investment in VLCC (the company’s director Sandeep Ahuja declined comment) once again reflects the growing penchant among private equity funds for Indian companies which have a direct interface with the consumer. Not surprisingly, high-end restaurants, coffee bars, quick service eateries, slimming and beauty centres which are absorbing a large chunk of the consumer’s disposable income are the new target sectors for the PE funds. The niche ayurvedic and herbal skin, hair and body-care category is another focus area of the PE funds. Such companies are also acquisition targets of many FMCG companies.
Mayur Shekhar Jha & Chaitali Chakravarty, New Delhi
The Economic Times
Good-looks and slimming company Vandana Luthra Curls and Curves (VLCC) is shedding stake yet again. The company’s coffers are bulging as private equity firm Indivision plans to invest between Rs 90-100 crore in Luthra’s weight loss venture. Earlier, VLCC made a fat sum when Hong Kong-based CLSA Partners invested in the company two years ago.
Indivision’s proposed investment in VLCC (the company’s director Sandeep Ahuja declined comment) once again reflects the growing penchant among private equity funds for Indian companies which have a direct interface with the consumer. Not surprisingly, high-end restaurants, coffee bars, quick service eateries, slimming and beauty centres which are absorbing a large chunk of the consumer’s disposable income are the new target sectors for the PE funds. The niche ayurvedic and herbal skin, hair and body-care category is another focus area of the PE funds. Such companies are also acquisition targets of many FMCG companies.