The Good Glamm Cart 🛒
Good Glamm goes shopping, startups are acquiring legacy brands.
Hear ye, hear ye!
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So, what’s cooking? 🤨
2021 was a phenomenal year for D2C startups. And amidst the funding winter this year, the momentum doesn’t seem to slow down (yet). D2C brands have started taking on the incumbents on their home turf. And they aren’t just trying to eat away a small slice of the big pie. They are now going for the knockout, and some have started acquiring legacy brands.
KO baby! 👊💥
That’s right! The 5-year-old beauty startup MyGlamm, which is now a conglomerate of 15+ brands (Good Glamm Group), reportedly made a move to acquire the consumer portfolio of the 100-year-old Raymond Group. The deal is likely to be priced at a whopping $300 million with legacy brands like Park Avenue & Kamasutra to come under the Good Brands Co banner.
And this is not the first time startups have tried to acquire legacy companies. We’ve seen it with the Edtech company Byjus acquiring a 3-decade-old Akash Institute for $1 billion 🤯.
From a D2C context, Mamaearth also recently acquired BBlunt (a premium hair care brand) to grow its offline distribution and capture market share quickly. As more startups scale and mature, we might see more deals like this in the future.
So watch out Goliaths! David has just started gearing up 🔥
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