Peak XV Partners, 4 other entities offload Rs 1,601-crore stake in Honasa Consumer; ICICI Pru, Morgan Stanley among buyers

Peak XV Partners (formerly Sequoia Capital India & SEA), and four others on Thursday divested a 10 per cent stake in Honasa Consumer, which owns Mamaearth brand, for Rs 1,601 crore through open market transactions, while ICICI Prudential Life Insurance and Morgan Stanley acquired stakes in the company.

Peak XV Partners through its arm Peak XV Partners Investments VI, Fireside Ventures through its affiliate Fireside Ventures Investment Fund I, Sequoia Capital Global Growth Fund III-US/ India Annex Fund, Sofina and Stellaris Venture Partners India I sold more than 3.23 crore shares or 10 per cent stake in Honasa Consumer, as per the data.

According to the bulk deal data available on the National Stock Exchange (NSE), Peak XV Partners sold over 1.23 crore shares or 3.81 per cent stake in Honasa Consumer and Fireside Ventures offloaded 65.83 lakh shares or 2.03 per cent stake in Gurugram-based company.

In addition, Brussels-headquartered Sofina Ventures SA divested 60.15 lakh shares or 1.85 per cent stake, Stellaris Venture Partners sold 45.30 lakh shares, representing a 1.4 per cent stake in Honasa Consumer and Sequoia Capital Global Growth Fund III-US/ India Annex Fund disposed of 28.71 lakh shares or 0.88 per cent stake in the company.

The shares were sold in the price range varying from Rs 495.01-496.12 apiece, taking the combined transaction value to Rs 1,601.71 crore.

After the share sale, Peak XV Partners' stakeholding in Honasa Consumer has come down to 14.88 per cent from 18.69 per cent, Fireside Ventures to 2.25 per cent from 4.28 per cent, Sofina to 3.31 per cent stake in Honasa Consumer from 5.16 per cent.

Additionally, Sequoia Capital Global Growth Fund's stake has also declined to 3.47 per cent from 4.35 per cent while Stellaris Venture Partners shareholding in the firm has reduced to 3.35 per cent in Honasa Consumer.

Meanwhile, ICICI Prudential Life Insurance acquired 28.78 lakh shares or 0.88 per cent stake in Honasa Consumer and Morgan Stanley Asia Singapore purchased 24.17 lakh shares of the company. The shares were bought at an average price of Rs 495 apiece, taking the combined deal value to Rs 262.17 crore. Details of the other buyers of Honasa Consumer's shares could not be ascertained.

Peak XV Partners (formerly Sequoia Capital India & SEA) is a leading venture capital (VC) and growth investing firm investing across India, South East Asia and beyond.

Last week, the VC firm has reduced its stake by divesting a little over 22 per cent stake in Indigo Paints for Rs 1,557 crore.

Shares of Honasa Consumer declined 5.36 per cent to close at Rs 494 apiece on the NSE.