Apparel Group eyes India foray in luxury beauty, explores stake purchase in Baccarose

Dubai-based fashion and lifestyle conglomerate Apparel Group is exploring an entry into India’s fast-growing beauty and fragrance market and is in early-stage discussions to acquire a stake in Baccarose, a leading distributor of global premium beauty brands, as per an ET report.

The potential transaction could also include Parcos, the luxury beauty retail chain owned by Baccarose, which operates more than 50 specialty perfume and beauty stores across major Indian cities. Sources said the deal structure is still under discussion and could involve either a stake in the parent company or a focused investment in the retail arm. The proposed valuation is estimated at around ₹250 crore.

If concluded, the acquisition would mark Apparel Group’s first significant move into India’s premium beauty segment, aligning with its broader strategy to expand its beauty and lifestyle portfolio beyond the Middle East. The group currently operates over 2,500 stores across 14 countries and has been steadily scaling its presence in India.

Founded in 1983, Baccarose is one of India’s earliest beauty and luxury brand distribution companies and has been instrumental in bringing several international fragrance, skincare and cosmetics brands to the country. However, its dominance has faced increasing pressure in recent years as newer players such as Nykaa, Shoppers Stop and Reliance-backed Tira have secured licensing and retail partnerships with global beauty brands.

“Unlike earlier years when Baccarose had a near-monopoly in the segment, most international brands are now entering India through online platforms like Nykaa or large-format retail partners,” said one person aware of the discussions.

For Apparel Group, which already partners with global brands such as Victoria’s Secret, Aldo, Crocs, Charles & Keith, Bath & Body Works, Tim Hortons and Carrefour in India, a deal with Baccarose could provide a ready-made platform to scale in the luxury beauty category. The group currently operates more than 250 stores in India across fashion, footwear and lifestyle segments.

Apparel Group declined to comment on the talks, while a spokesperson for Baccarose denied that any discussions are currently underway.