Akums Drugs to Acquire Oriflame India's Manufacturing Business for Rs. 56 Crore

Deal will add manufacturing capacity in skincare, wellness, hair care and colour cosmetics

Akums Drugs and Pharmaceuticals Limited has announced that its wholly-owned subsidiary, Pure and Cure Healthcare Private Limited, has received Board approval to acquire the manufacturing business of Oriflame India Private Limited.

The approval was granted at a Board meeting held on July 23, 2026.

Under the proposed transaction, Akums will acquire two manufacturing facilities operated by Oriflame India, along with a leased warehouse. The deal is valued at Rs. 56 crore and will be completed entirely through cash consideration.

The transaction is expected to close by August 31, 2026, subject to the completion of customary closing conditions.

Two Manufacturing Facilities to Join Akums' Operations

The acquisition covers two manufacturing facilities.

One facility is located in Roorkee, Uttarakhand, while the second is located in Noida, Uttar Pradesh. A leased warehouse in Noida is also included in the transaction.

The facilities will bring manufacturing capabilities across several consumer-focused categories, including skincare, wellness, hair care and colour cosmetics.

For Akums, the deal provides an opportunity to enter deeper into the cosmetics and personal care manufacturing market while building on its existing experience as a contract development and manufacturing organisation, or CDMO.

Oriflame's Brand and Sales Business Is Not Part of the Deal

The transaction is limited to Oriflame India's manufacturing business.

This means Akums will not acquire the marketing or sales operations of Oriflame products in India.

The trademarks and related brand rights associated with Oriflame products will also remain with Oriflame India.

In simple terms, Akums is acquiring the manufacturing infrastructure and capabilities, while Oriflame India will continue to control its products, brands, marketing and sales activities.

Akums Looks Beyond Traditional Pharmaceuticals

The acquisition is part of Akums' strategy to expand its business beyond pharmaceuticals and into related high-growth categories.

Sanjeev Jain, managing director of Akums Drugs and Pharmaceuticals Limited, said the company sees cosmetics, particularly colour cosmetics, as one of the fast-growing consumption segments in India.

According to the company, acquiring the Roorkee and Noida facilities will provide immediate manufacturing capacity and established capabilities.

This could allow Akums to support both Indian and international brands looking for manufacturing partners in the cosmetics and personal care space.

Cosmetics Manufacturing to Expand Akums' CDMO Capabilities

The move also gives Akums a chance to extend its CDMO capabilities into cosmetics.

Sandeep Jain, managing director of Akums Drugs and Pharmaceuticals Limited, said the two manufacturing facilities bring established infrastructure and manufacturing expertise that fit with the company's plans for quality and scale.

The company expects the new facilities to create synergies with its existing operations.

Akums plans to use the expanded manufacturing capabilities to serve the growing demand for skincare and colour cosmetics in India as well as export markets.

Oriflame to Continue Its Business in India

For Oriflame, the agreement is focused on securing a long-term manufacturing arrangement in the Indian market.

Anna Malmhake, CEO and president of Oriflame, said the partnership with Akums will support the company's plans in India while maintaining the quality of products expected by its beauty entrepreneurs and customers.

The deal allows Oriflame to continue focusing on its brand, sales and marketing activities while working with Akums for manufacturing.

What the Acquisition Means for Both Companies

The transaction gives Akums access to established manufacturing facilities and capabilities in several consumer health and beauty categories.

For Oriflame India, the arrangement creates a manufacturing partnership with a company that has experience in large-scale pharmaceutical production and CDMO operations.

The two companies can therefore focus on their respective strengths. Akums will strengthen its manufacturing presence in cosmetics and personal care, while Oriflame will retain control over its brands and commercial activities in India.

The acquisition is expected to be completed by August 31, 2026, once the required closing conditions are satisfied.

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