July 24: Oriflame, the Swedish holistic beauty and wellbeing brand, announced that it has entered into an agreement for the transfer of its manufacturing operations in India to Pure and Cure Healthcare Private Limited, a wholly-owned subsidiary of Akums Drugs and Pharmaceuticals Limited, one of India‘s contract development and manufacturing organisations .
The proposed transaction includes Oriflame India‘s manufacturing facilities located in Roorkee, Uttarakhand, and Noida, Uttar Pradesh. Completion of the transaction remains subject to customary closing conditions and regulatory approvals.
As part of the agreement, Oriflame and Akums will enter into a long-term strategic manufacturing and supply partnership. Under this arrangement, Akums will continue to manufacture Oriflame products, ensuring continuity of supply and maintaining the high standards of quality expected by Oriflame Beauty Entrepreneurs and customers.
India remains a strategically important market for Oriflame. The company has operated in the country for more than 30 years and will continue to grow its fast-growing social selling business, serving consumers through its network of Beauty Entrepreneurs across the country.
The transaction forms part of Oriflame‘s ongoing efforts to optimise its global operations and sourcing footprint while maintaining strong product quality, operational resilience and service levels.
Anna Malmhake, CEO and President of Oriflame, said,
“India is an important market for Oriflame and we remain fully committed to our long-term growth ambitions in the country. Through this strategic partnership with Akums, we are securing access to high-quality manufacturing capabilities while enabling greater operational flexibility and alignment with our sourcing strategy. We are pleased to be partnering with a trusted and reputable manufacturer that shares our commitment to quality and excellence.”
Edyta Kurek, Senior Vice President and GM, Oriflame India, added,
“Oriflame‘s manufacturing standards in India have been built over more than three decades of expertise at our Roorkee and Noida facilities. As a Swedish brand, we have always believed in building long-term, sustainable partnerships that uphold the highest standards of quality. Our partnership with Akums reflects that philosophy, bringing together Oriflame‘s global product expertise and uncompromising quality standards with Akums‘ manufacturing excellence to support our long-term growth in India. For our Beauty Entrepreneurs and customers, it is business as usual, with our commercial operations, products and services remaining unchanged. We are pleased that the partnership is intended to ensure continuity for employees while preserving the expertise built within these facilities. Together with Akums, we look forward to continuing to serve our Beauty Entrepreneurs and customers across India for many years to come.”
Employees currently working at the manufacturing sites will be offered to continue their employment with the new owner on the same terms and conditions.
Oriflame‘s commercial operations, Beauty Entrepreneur network, trademarks and customer-facing activities in India are not part of the transaction and will continue to be operated by Oriflame India Private Limited.