Mamaearth founder Varun Alagh buys 0.6% stake in company for Rs 50 crore

Varun Alagh, founder and chief executive of Honasa Consumer, on Monday bought a 0.6% stake in the company for Rs 50 crore, according to a stock exchange filing. Honasa Consumer owns the popular skincare firm Mamaearth.

With the transaction, Honasa Consumer’s promoters--Alagh, cofounder Ghazal Alagh and their family members-- own 35.54% stake in the company, up from 34.97% as of September 30.

Alagh purchased 1.85 million shares of Honasa Consumer in a block deal at a price of Rs 270 per share.


On Monday, Honasa Consumer’s shares closed 2.7% higher on the BSE.

This is the second time Alagh has picked up a stake in the Gurgaon-based beauty and skincare company since its listing in 2023. He had last bought shares in Honasa Consumer in December 2024 worth Rs 4.6 crore at a price of Rs 254 per share.

In October 2023, Varun and Ghazal Alagh had together sold shares worth Rs 106.5 crore at a price of Rs 324 per share. The company’s shares are currently trading at 15% lower than its IPO price.

Honasa Consumer, which runs other brands such as The Derma Co, Aqualogica, Dr Sheth’s and Staze Beauty, reported a 16% year-on-year increase in its operating revenue to Rs 538 crore for the September quarter. It swung to a net profit of Rs 39 crore from a Rs 18 crore loss in the year ago period, with the flagship Mamaearth brand getting back to profitability after a period of disruptions caused by a change in its offline distribution strategy.

Honasa Consumer has also recently been foraying into newer segments inorganically. It has picked a 25% stake in oral care brand Fang for Rs 10 crore and bought 95% of south India-focused men’s grooming brand Reginald Men for Rs 195 crore.