Mamaearth Parent Honasa Consumer Calls Off Rs 135 Cr Fluence Pharma Deal, Withdraws From 58% Stake Acquisition

Honasa stated that the conditions required for completing the transaction under its share purchase agreement with Fluence Pharma had not been fulfilled. However, the company did not specify which particular conditions remained unmet. It also did not clarify whether the failure to meet those conditions was connected to any findings that emerged during the due diligence process.

Honasa had originally announced the proposed deal on June 23, 2026, with the transaction expected to be completed within eight weeks. As recently as August 13, the company's management had told analysts that due diligence was still underway and that the parties were working towards fulfilling the conditions required before closing the transaction. The company had also indicated that the integration process would commence once these pre closing requirements were completed.

Under the original transaction structure, Honasa planned to purchase an initial 58% stake in Fluence Pharma from its existing shareholders. The remaining 42% stake was proposed to be acquired in two separate tranches over a period of five to seven years. The previously announced ₹135 crore represented Fluence Pharma's enterprise value, while the final value of the transaction was to be determined after taking into account closing adjustments.

Fluence Pharma was founded by Amit Bhusari along with dermatologist Rajendra Singh Rajput. The company operates in the nutraceutical segment and sells over the counter supplements aimed at hair and skin conditions. Its products are based on a patented method known as Cyclical Nutrition Therapy, through which supplements are administered according to a prescribed sequence.

Honasa had earlier stated that Fluence Pharma recorded provisional revenue of approximately ₹40 crore in FY26, along with an operating margin of more than 20%. Products focused on hair related conditions contributed more than 70% of the company's revenue, while its products were distributed through a network comprising over 3,000 dermatologists.

The proposed acquisition had formed part of Honasa's broader plans for the nutraceuticals business. In its acquisition presentation, the company had outlined an ambition to develop a ₹500 crore nutraceuticals franchise, with Fluence Pharma expected to contribute to that expansion strategy.

Despite calling off the Fluence transaction, Honasa has stated that the decision will not change its overall nutraceuticals strategy. The company has already established a separate subsidiary named Honasa Health to focus on the nutraceutical category.

Honasa has also stated that it will continue to evaluate opportunities in the segment through both products developed internally and potential acquisitions. The company, however, has not clarified whether the cancellation of the Fluence Pharma transaction will have any impact on its previously outlined ₹500 crore nutraceuticals ambition, reports The Times of India.

The cancellation leaves Honasa's broader nutraceutical expansion plans intact, with the company continuing to pursue the category through Honasa Health, internally developed products and potential future acquisitions, while the impact, if any, on its targeted ₹500 crore nutraceuticals franchise remains unspecified.