True North acquires India hair care business

Sesa Oil, which manufactures products based on India’s traditional Ayurveda system of medicine, will be rebranded as Sesa Care. True North plans to help the brand grow its product range and expand into new geographies over the next five years. Financial details of the transaction have not been revealed, but Livemint reported that the PE firm will pay about INR7 billion ($95 million) for a 75% stake in the business.

Ban Labs was launched in 1966, with an initial focus on hair loss. It now manufactures products across a range of categories including facial creams and lotions, bath soaps, and herbal medicine, along with treatments for additional hair issues such as dandruff. All of its products are based on Ayurvedic principles, created under modern laboratory conditions.

In addition to Sesa, the company manufactures the Charm and Glow brand of beauty products, as well as the Doctor’s Care line of dish and laundry detergents. It has two manufacturing centers and a R&D center, with over 400 employees in India.

True North, formerly known as India Value Fund Advisors, seeks either controlling interests or significant minority stakes in Indian mid-market companies in order to build them into market leaders. Recent buyouts by the firm include the Indian orthopedics and pain management business of drug maker Glenmark Pharmaceuticals in August, at a valuation of INR6.4 billion.

Currently True North has more than $2.8 billion in assets under management. The firm launched its sixth fund last year and set a hard cap of $1.1 billion, although AVCJ understands this was subsequently reduced to around $900 million.

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• Topics
• South Asia
• Consumer
• Buyouts
• India
• True North