VLCC Embarks On Expansion; Eyes Rs 5K-cr Revenue In Next 4 Yrs
Wellness and beauty services brand VLCC is eyeing revenues of Rs 5,000 crore in the next four years and has embarked on an expansion plan in both domestic as well as international market, a top company official said.
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The company is also planning to soon launch itsinitial public offer for funding its further expansion plans,VLCC founder Vandana Luthra said.
'We have embarked on a massive expansion plan not only in the domestic market but also internationally. We are also looking at different business opportunities in the beauty and wellness sector for expansion. All these efforts will enable us to reach a topline of Rs 5,000 crore in the next four years,' she said.
At present, the company's revenues are around Rs 1,000 crore. According to market statistics, the organised on-demand beauty services market has gained traction in the last couple of years and is pegged in excess of Rs 15,000 crore,and is growing at CAGR of 18.6 per cent.
Recently, VLCC entered into an exclusive partnership with hospitality and leisure group Minor Hotels to pioneer the concept of residential wellness outside India.
In the last two years, the company has also acquired two firms Wellscience and Vanity Cube for expanding our presence in nutraceuticals and on-demand beauty services businesses, respectively.
'We are continuously looking at different opportunities and are in talks with various firms,' she said,without divulging further details.
Last year, the Delhi-based firm raised USD 3 lakh in an early stage round from Unicorn Ventures. At present, the company has a presence across the country with over 400 centres and is also operating in 16 countries. It plans to add eight in Maharashtra alone in the next 12 months.
Besides this, it has 96 VLCC Institutes of beauty and nutrition in India and Nepal and plans to add 100 new institutes in the coming three years across its areas of operations including the Middle East and Africa.
On its IPO plans, Luthra said, 'we had earlier announced our plans and filed the DRHP. However, since the market conditions at that time were not conducive, we decided not to go ahead with the plans. We are waiting for the right time to hit the market and we are hopeful it will be launched very soon.' According to the DRHP, the company plans to raise Rs 400 crore.
She further said that the company was not in any hurry to launch the IPO as it has enough internal accruals to fund the existing plans.