Chennai’s Naturals Salon
& Spa Plans IPO by 2028
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C.K. Kumaravel
Chennai-based
Naturals Salon & Spa,
a leading name in the hair and beauty care industry, is considering launching
an Initial Public Offering (IPO) by 2028 to raise fresh capital. The move comes
after earlier discussions with Reliance
Industries Limited did not materialize into a deal.
According to
Co-founder C.K.
Kumaravel, the IPO route is being evaluated as part of the
company’s long-term growth strategy. He clarified that the company is not in a
hurry and is carefully assessing the right timing and market conditions before
proceeding.
Talks with Reliance: Why the
Deal Didn’t Go Through
In 2020,
Naturals entered into preliminary discussions with Reliance Industries
regarding a potential strategic investment. During those talks, Reliance
reportedly expressed interest in acquiring a 51% stake in the company.
However,
Naturals was willing to dilute only up to 49% equity. The promoters were firm
on retaining controlling ownership to safeguard the company’s independence and long-term
vision. As a result, the discussions were discontinued.
Kumaravel
also stated that the company is currently not engaged in discussions with any
other investors and is not under pressure to raise funds immediately.
Nationwide Expansion: 900+
Salons and Growing
Naturals has
built a strong presence across India with more than 900 salons. The company
largely operates under a franchise-based business model, which has enabled
rapid expansion with relatively lower capital requirements.
The brand
has established a strong footprint not only in metropolitan cities but also in
Tier-2 and Tier-3 towns. As part of its expansion plan, Naturals aims to open
100 new salons by 2026, including in cities such as Pune.
This
expansion strategy is aligned with the fast-growing beauty and personal care
market in India.
Why an IPO Matters
An IPO could
offer several strategic advantages to Naturals:
·
Access
to substantial capital for expansion
·
Enhanced
brand value and public credibility
·
Opportunities
for national and international growth
·
Improved
corporate governance and regulatory transparency
The company
is currently evaluating market conditions, revenue growth trends, and
profitability metrics before finalizing its IPO plans.
Growth of India’s Beauty and
Personal Care Market
India’s
beauty and personal grooming industry has witnessed significant growth over the
past decade. Changing lifestyles, rising disposable incomes, wedding and event
culture, and increasing awareness about personal appearance have driven demand.
Importantly,
the customer base has expanded beyond women, with men increasingly contributing
to the sector’s growth.
Naturals has
been investing in training academies, technology integration, and service
standardization to maintain consistent quality across all its outlets.
The Road Ahead
Even though
the deal with Reliance did not move forward, Naturals continues to grow
confidently and independently. The proposed IPO by 2028 reflects the company’s
ambition to scale further while maintaining promoter control.
With
aggressive expansion plans, a strong franchise model, and a growing beauty market,
Naturals appears well-positioned to enter its next phase of growth in the
coming years.
