Estee Lauder buys Forest Essentials, takes full ownership of the brand following first minority investment in 2008

MUMBAI: The Estee Lauder Companies has bought Indian skincare brand Forest Essentials, taking full ownership of the firm it had first invested in 2008 as the American company looks to bolster its bets on the local prestige beauty market.

Estee Lauder did not disclose the size of the deal but said that the transaction is expected to close in the second half of 2026. The acquisition will make India the company’s largest emerging market, Estee Lauder said on Thursday. A young consumer cohort, rising incomes alongside an increasing share of women in the workforce who are keen on experimenting with new beauty labels has made India the hotbed for global and homegrown beauty brands with companies stepping up expansion.

The growth of e-commerce platforms such as Nykaa, Myntra Beauty and Tira has also made it easier for companies to launch and distribute their brands in India, enabling them to reach a wider audience.

From a handful of brands such as Lakme and Loreal in the past, India’s beauty market today has expanded to a mix of global and local labels with trends like K-beauty resonating well with the Gen Z and young millennials. This also means more competition, pushing established brands such as Estee Lauder to chalk out new growth avenues and gain market share.

Estee Lauder which owns brands such as Bobbi Brown, Clinique and Mac forayed into India in 2005. It bought a minority stake in Forest Essentials in 2008, increasing it to 49% by 2020. “The collaboration is a strategic investment in Forest Essentials’ future, creating a scalable platform that will broaden consumer reach and bring modern luxurious Ayurveda to new audiences all over the world,” Estee Lauder and Forest Essentials said in a joint statement.

Founded in 2000 by Mira Kulkarni, Forest Essentials will continue to be based in New Delhi and maintain its operational ecosystem in India. For Forest Essentials, the deal allows them to access global markets through Estee Lauder’s presence in 150 countries. “Together, our ambition is clear: to further strengthen the brand’s leadership at home while thoughtfully introducing it to a global audience,” said Stephane de La Faverie, president and CEO at The Estee Lauder Companies.