Varun Alagh Boosts Stake in Honasa Consumer with ₹50 Crore Block Deal

Varun Alagh, co-founder and promoter of Honasa Consumer Ltd, the parent company of Mamaearth and other personal care brands, has significantly increased his shareholding in the firm. This move, executed through a block deal on 29 December 2025, is seen as a strong vote of confidence in the company’s future prospects.

Founder Increases Personal Shareholding

According to a regulatory filing made to the stock exchanges, Varun Alagh purchased 18,51,851 equity shares in Honasa Consumer at INR 270 per share, with the total transaction amounting to about INR 50 crore. These shares represent roughly 0.57% of the company’s total share capital.

After this acquisition, Alagh’s personal stake in Honasa rose to 10,55,82,701 shares, now equivalent to 32.45% of the company’s total equity. This marks a clear increase from his earlier holding in the company.

In addition, the combined shareholding of the promoter and promoter group has also grown. Together, they now hold 11,56,48,401 shares, or 35.54% of the company’s capital.

What This Means for the Company

Honasa Consumer is known for its digital-first beauty and personal care brands, with Mamaearth being the most recognised among them. The company also owns other brands such as The Derma Co., Aqualogica, BBlunt, Dr Sheth’s, Staze, and Luminéve.

Alagh’s increased stake comes at a time when Honasa has been active in expanding its brand portfolio. Recently, it acquired a 95% stake in BTM Ventures, the owner of the men’s grooming brand Reginald Men, in a deal valued at INR 195 crore. The company also picked up a 25% interest in Couch Commerce, which owns the oral care brand Fang Oral Care.

Investors have welcomed the news. Honasa’s shares saw a positive reaction in the markets, with the stock closing higher following the announcement. Trading on the BSE, the share price rose by nearly 2.9%, reflecting some market confidence tied to the promoter’s additional investment.

Financial Context and Outlook

The stake purchase comes after Honasa reported a strong turnaround in performance in its recent quarterly results. For the quarter ending September 2025, the company reported a net profit of INR 39.2 crore, compared with a loss in the same period last year. Revenue also grew by 16.5% year-on-year, rising to INR 538 crore.

By increasing his holding at this stage, Alagh appears to be signalling his belief in Honasa’s growth strategy, both in core beauty products and in new segments such as men’s grooming and oral care. Analysts suggest that promoter buying often serves as a positive indicator for long-term investors, especially when stock prices are trading below earlier peaks.

List of Varun Alagh Investments: Companies Backed by the Mamaearth Chief Dad

Varun Alagh, Co-Founder, Chief Dad, and CEO of Honasa Consumer Ltd., the parent company of Mamaearth, is well-known for his investment acumen. Check out the list of his investment portfolio here.

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