The early-stage consumer venture capital arm of RP-Sanjiv Goenka Group will acquire an additional stake in Herbolab India Pvt Ltd to fully own the ayurvedic medicines manufacturer.
Mumbai-listed RPSG Ventures (formerly known as CESC Ventures Ltd) will buy 35.37% stake for Rs 50.8 crore ($6.9 million).
This comes after it purchased 64.63% of Herbolab, which makes medicines under the Dr. Vaidya’s brand, for about Rs 32.2 crore in June 2019.
The latest acquisition has trebled the valuation of the Mumbai-based ayurvedic firm from Rs 50 crore in June 2019 to around Rs 144 crore at present.
The Vaidya family, which set up the ayurvedic firm in 1980, will exit the company by selling its remaining stake.
Herbolab clocked revenue of Rs 16.33 crore for the year ended March 2020, against Rs 2.04 crore for 2018-19 and Rs 0.87 crore for 2017-18.