Recently De-merged from Marico ltd, Marico Kaya (MaKE) owns the Kaya Skin Clinic Brand. It has 85 Skin clinics spread across 26 cities in India and 18 clinics in the Middle East. The team consists of 160 dermatologists & various other certified beauty therapists. It offers speciality skin care in areas of anti-aging, pigmentation, acne, scar reduction, laser hair reduction and various other beauty enhancement services. It also sells its own range of over 50 skin care products
1). It is probably the only meaningfully large organised play available in the skin care sector.
2). Itâs a direct play on the rising middle class consumption story
3). For beauty-skin related services, a brand is essential as people are less likely to opt for an unknown entity here
4). Will most likely see a migration trend from the individual local dermatologist to the organised multi-service branded operator
1). Not too much information is available at the moment since the company is only newly formed
In terms of valuation, the company is available at a 400cr market cap. Revenues are close to 360cr and profits at 35cr. I think paying 10-12 times for this management pedigree and the business sector may not be too expensive. Also because of the de-merger im assuming large institutions will be compelled to sell shares initially