L’Oréal bets on digital-first India with Innovist majority stake

L’Oréal has signed an agreement to acquire a majority stake in Innovist, a digital-first Indian personal care house of brands. The strategic move is part of L’Oréal’s planned expansion in India’s fast-growing beauty industry. 

The cosmetics giant says the decision complements its portfolio with local brands tailored for Indian consumers. 

“Our investment in this innovative Indian start-up is a clear testament to our unwavering commitment to expanding L’Oréal’s footprint in India,” says Nicolas Hieronimus, CEO of L’Oréal. 

“By bringing together the very best of L’Oréal’s global expertise with Innovist’s high-performing, science-led products and deep-rooted understanding of the Indian consumer, I believe we are poised to shape the future of beauty in this dynamic market.”

Last year, L’Oréal announced plans to significantly expand its India business operations over the next few years. It positions the country as a central hub in its global growth strategy.

“India is a very strategic market for L’Oréal,” said Hieronimus after meeting with India’s Commerce and Industry Minister Shri Piyush Goyal. “We intend to more than double our business in the next couple of years.

According to the India Brand Equity Foundation, the country’s beauty industry is projected to grow to US$34 billion by 2028.

Investing in Innovist 

The Innovist brands will be part of L’Oréal’s Consumer Products Division portfolio.

“India is one of the most exciting and fast-evolving beauty markets in the world, and this partnership places us right at the heart of that momentum,” says Fabrice Megarbane, president of the Consumer Products Division at L’Oréal. 

“For the Consumer Products Division, this is a key milestone, one that reflects both our ambition and our commitment to this extraordinary market.”L’Oréal is acquiring a majority stake in Innovist. 

Innovist was founded in 2019 and built on a commitment to clean formulations and transparent ingredients. Its mission is supported by its in-house R&D and manufacturing capabilities. According to L’Oréal, Innovist is one of the fastest-growing science-led and digital-first personal care companies in India. 

“We founded Innovist on the conviction that Indian consumers deserve beauty products built on real science with full transparency on formulation, and that these products could be made in India to global standards,” says Rohit Chawla, founder and CEO of Innovist.

“This partnership with L’Oréal brings together a deep alignment in this vision and product philosophy, with the global scientific innovation resources to grow this ambition. Together, we see a significant opportunity to build the next generation of beauty brands.”

Innovist is the parent company behind brands Bare Anatomy, Chemist at Play, Sunscoop, and Vinci Botanicals. The company’s skin care and hair care products are available across its own direct-to-consumer platforms, e-commerce and quick commerce channels, and offline retail partnerships nationwide. 

Personal Care Insights previously spoke with Innova Market Insights’ project lead for Beauty Personal Care & Household division, who told us that digital services are “indispensable” in the Indian beauty market. 

“Innovist has built something truly special here in India, and by joining forces, we look forward to bringing L’Oréal even closer to the new generation of digitally-savvy Indian beauty consumers,” adds Jacques Lebel, country manager at L’Oréal India.

Under the agreement, the Innovist founding team will remain in place, as minority shareholders, and will continue to operate and scale the business in collaboration with L’Oréal India. L’Oréal will start consolidating Innovist sales from the date of the closing of the transaction. 

As part of the agreement, L’Oréal has also secured the rights to buy out the minority shareholders in full. The transaction is expected to be completed in the next few months after regulatory approvals and other customary conditions.

In April, we reported on the rumor of the acquisition. At the time, the deal was valued at around ₹4,000 crore (US$428.42 million).

India’s booming beauty market

L’Oréal currently produces approximately 500 million units annually in India, with many products shipped to the Gulf region. In its most recent India filings, L’Oréal India posted revenue from operations of ₹ 5,925 crore (US$ 681 million) for the financial year ended March 2025, up around 6% on the previous year.

In the previous financial year ended March 2024, its revenue grew 12.6% from the previous year. In FY24, the company lifted advertising and promotional spending by 23.7%. L’Oréal’s CEO has called India a strategic market for L’Oréal. 

“We built Innovist for consumers like me, without compromises and shortcuts. That intention has today resulted in a partnership with the world’s largest beauty company, and the beginning of a much larger chapter for Indian beauty,” says Sifat Khurana, CMO and co-founder of Innovist, about the acquisition. 

L’Oréal India, a wholly owned subsidiary of L’Oréal SA, has operated in the country since 1994 and manages a broad brand portfolio across mass, professional, luxury, and dermo-cosmetic channels. Some of the group’s brands include L’Oréal Paris, Maybelline New York, Garnier, NYX Professional Makeup, Lancôme, and CeraVe.

The beauty conglomerate has continued to deepen its India commitment since. In January 2026, L’Oréal announced roughly US$383 million to launch a technology hub in Hyderabad, citing the country’s AI and engineering talent.

In January, India and the EU struck a historic Free Trade Agreement that is predicted to lower the price of cosmetics and boost the already accelerating Indian beauty market. The deal is pending ratification and expected to take effect from 2027. 

India and the EU agreed to wide-ranging tariff cuts and eliminations. According to the EU, the agreement will remove or reduce duties on over 90% of its goods. The current 22% tariff on cosmetics will be mostly removed after five or seven years. The EU says the agreement will boost exports to India and deepen economic ties amid ongoing global trade turbulence. 

India’s beauty and personal care market recently surpassed US$30 billion, fueled by rising incomes, urbanization, and the boom of e-commerce and quick commerce. 

According to the organizers of Cosmetica 2026, running from June 19–21, the billion-dollar figure indicates that global beauty brands increasingly see India as a fertile ground for growth.

“The global beauty industry is increasingly looking toward India not merely as a consumer market but as a strategic hub for innovation, manufacturing, and product development,” said Ceyril Perira, managing director at Triune Exhibitors Private Limited, the official organizer of the event.

Earlier this month, Unilever announced it will open a fragrance hub in Mumbai, India, strengthening its footprint in the burgeoning Indian beauty market. Additionally, last year, Lush made its return to India after nearly twenty years, aiming to capture a share in the country’s growing personal care market.