Godrej Consumer Products signs pact to acquire Muuchstac in all-cash deal

The Muuchstac brand is currently among the top two players in the men's online facewash category and holds the top-three spot overall

Godrej Consumer Products Ltd. (GCPL) has signed a definitive agreement to acquire the FMCG business under the ‘Muuchstac’ brand via slump sale from Trilogy Solutions for approximately ₹449 crore as it aims to drive profitable growth.

 

The deal will be done in two tranches and is an all-cash deal. In the first tranche, GCPL will make a payment of ₹289 crore for an enterprise value of ₹380 crore, and the second tranche will be 12 months later for approximately ₹160 crore at an enterprise value of ₹400-500 crore, it said in its stock exchange filing. 

 

“This brand is one of the India’s fastest-growing men’s grooming brands with a strong leadership position in the men’s facewash segment. This acquisition marks a strategic step in GCPL’s journey to strengthen its personal care portfolio and expand its footprint in high-growth, high-margin categories,” it said in its release.

   

The Muuchstac brand is currently among the top two player in the men’s online facewash category and hold the top three spot overall, and in 12 months ending September 2025, the business recorded revenues of approximately ₹80 crore and EBITDA (adjusted for one-offs) of around ₹30 crore. 

 

The Indian facewash market, estimated at ₹6,000–7,000 crore, is growing at 15–20 per cent per annum, driven by rising awareness of skincare and an ongoing shift from soaps to more specialised cleansing formats. 

 

“Within this, the men’s facewash category, valued at about ₹1,000 crore, is growing at over 25 per cent annually, making it one of the fastest-growing segments in personal care. The upgradation trend from soaps to facewash, supported by higher disposable incomes, and changing grooming preferences, is expected to sustain strong momentum in the coming years,” the release added. 

 

“We are delighted to welcome Muuchstac brand to Godrej Consumer Products. The brand’s strong resonance among younger consumers, high profitability, and proven digital execution model make it a powerful addition to our personal care portfolio. This acquisition enhances our participation in the fast-growing men’s grooming segment and supports our vision of building a future-ready, innovation-led GCPL,” Sudhir Sitapati, managing director & chief executive officer at GCPL said in the release.

 

Ronak Bagadia and Vishal Lohia, founders of Muuchstac, said that they look forward to the business scaling ahead, on their vision of redefining men’s skincare in India and also said that they will work closely with the team at Godrej for the same. 

 

In the July-September quarter, GCPL’s consolidated net profit fell 6.5 per cent to ₹459.3 crore. 

 

Its net sales grew 4.3 per cent to ₹3,825.1 crore. It reported a volume growth of 3 per cent in the quarter under review in the domestic business.  

 

Its profit before interest, tax, depreciation and amortisation fell 5.8 per cent in the quarter ended September to ₹796.2 crore. 

 

Commenting on its results, Sitapati said, “Q2 FY26 has been a resilient quarter for Godrej Consumer Products Limited, especially given the backdrop of the GST transition in India and continued macroeconomic challenges in Indonesia. Despite these headwinds, our India business, excluding soaps, has delivered double-digit underlying volume growth, reflecting the strength of our core portfolio and execution.”

 

He also said that the recent GST rate reduction is a welcome structural reform that will strengthen long-term consumer demand. 

 

As warned by the company ahead of its earnings, Sitapati said in the release, “However, this transition led to short-term trade disruptions as the channel adjusted to new pricing and cleared old inventory, particularly impacting soaps and hair colour. Despite this, we continue to gain market share in soaps and other key categories.” 

 

He added that in October, the company entered the ₹3,000 crore toilet cleaner category segment, which is growing at strong double digits. 

 

“Our new brand, Godrej Spic, has been launched in select south Indian states, priced competitively at ₹79 for 500 ml, marking an important step in expanding our Home Care portfolio,” he said.