Akums buys Oriflame's manufacturing business for Rs. 56 crore, forays into colour cosmetics

Acquisition of manufacturing facilities in Uttarakhand and Uttar Pradesh strengthens Akums' CDMO capabilities in skincare, wellness, hair care and marks its entry into colour cosmetics.

Akums Drugs and Pharmaceuticals Ltd has approved the acquisition of the manufacturing business of Oriflame India Pvt. Ltd. through its wholly owned subsidiary, Pure and Cure Healthcare for Rs. 56 crore.

The company's Board approved the transaction on 23 July 2026. The acquisition, which is expected to be completed by 31 August 2026, is subject to customary closing conditions and will be executed entirely through a cash consideration.

The deal includes two manufacturing facilities located in Roorkee, Uttarakhand, and Noida, Uttar Pradesh, along with a leased warehouse in Noida. However, the transaction is limited to Oriflame India's manufacturing operations and does not include the company's marketing, sales or trademark rights, which will continue to remain with Oriflame India.

The acquired facilities bring manufacturing capabilities across skincare, wellness, hair care and colour cosmetics. The product portfolio includes creams, lotions, face washes, serums, shampoos, conditioners, lipsticks, foundations, primers, mascaras and eyeliners. 

The plants are equipped with European processing, filling and labelling machinery, support both small and large production batches, and are Halal-certified, enabling export opportunities.

The acquisition marks Akums' strategic entry into the colour cosmetics segment while expanding its existing presence in skincare and wellness contract manufacturing. The company said the move aligns with its strategy to diversify beyond pharmaceuticals into adjacent high-growth consumer categories. 

Akums currently manufactures cosmetic products for multiple clients through its existing cosmetics facility, which operates at high utilisation levels. The addition of the Roorkee and Noida plants is expected to significantly strengthen its manufacturing capacity and position in the cosmetics CDMO market. 

Sanjeev Jain, Managing Director, Akums Drugs and Pharmaceuticals Ltd., said, "This acquisition is a significant step in Akums' strategy to diversify beyond pharmaceuticals into high-growth adjacent categories. Cosmetics, and colour cosmetics in particular, represent one of the fastest-growing consumption stories in India today. Acquiring these two well-established manufacturing facilities gives us immediate, high-quality capacity and capability, and strengthens our ability to serve both Indian and global brands." 

Sandeep Jain, Managing Director, Akums Drugs and Pharmaceuticals Ltd., said, “Manufacturing facilities at Roorkee and Noida bring proven expertise and infrastructure that align closely with our quality and scale ambitions. This is a natural extension of our CDMO capabilities into cosmetics, and we see meaningful synergies with our existing operations.  

Anna Malmhake, CEO and President, Oriflame, said, "This agreement represents an important strategic step for Oriflame in India. By partnering with Akums, a highly respected manufacturing company with strong capabilities and a proven track record, we are securing a long-term manufacturing partnership that will continue to support the high-quality products our Beauty Entrepreneurs and customers expect," she said.