Recode Studios has signed an investment term sheet to acquire up to a 51% equity stake in Aflairza Professionals, the company behind premium beauty brand Aflairza.
The proposed acquisition will be executed in two phases through a combination of secondary share purchases from existing promoters and fresh capital investment into the business.
In the first phase, Recode Studios will acquire a 33% stake for Rs 8.32 crore. The investment will be evenly split between purchasing promoter shares and infusing fresh capital into the company. Subject to the achievement of agreed milestones, Recode plans to increase its stake to 51% in the second phase.
Founded by Sagar Urvish Gandhi and Deep Parekh, Aflairza Professionals develops premium beauty and cosmetics products using Korean formulations. The brand caters to both professional beauty salons and retail consumers.
Following the transaction, the founders will continue to oversee the company's day-to-day operations, while Recode Studios will appoint a nominee to Aflairza's board of directors.
Commenting on the investment, Dheeraj Bansal, chairman and managing director of Recode Studios, said the acquisition aligns with the company's strategy of partnering with high-growth consumer brands in the beauty and personal care segment.
He said Aflairza's premium positioning, differentiated product portfolio and growing consumer acceptance make it a strong strategic fit for Recode. Bansal added that the company plans to leverage its product development capabilities, distribution network and operational expertise to accelerate Aflairza's growth, expand its product portfolio and strengthen its presence in the premium beauty market.
