Jan 22 Reuters Consumer goods maker Hindustan Unilever said on Wednesday it would buy the 39;Minimalist39; skin care brand and projected nearterm margins at the lower end of its forecast range as it grapples with slowing urban demand.

This is Hindustan Unilever39;s latest investment in the beauty space as the conglomerate bets on Indian consumers splurging on skin and hair care.

The maker of soap brands 39;Dove39; and 39;Pears39; said it will buy a 90.5 stake in Uprising Science, which operates under the brand 39;Minimalist39;, valuing the latter at 29.55 billion rupees 342.3 million, including debt.

The deal for Uprising Science, which reported a revenue of 3.47 billion rupees in the 2024 financial year, will close in the AprilJune quarter, according to Hindustan Unilever, which is the Indian unit of UK39;s Unilever.

The acquisition will contribute less than 1 to the firm39;s total revenue, said Amit Purohit, equity analyst at Elara Capital.

It is not significant enough to move the needle but it39;s a step in the right direction.

Separately, the 39;Clinic Plus39; shampoo maker forecast nearterm margins at the lower end of its previous forecast range of 2324 as subdued urban demand outweighed a revival in rural demand and as commodity costs rose.

Hindustan Unilever39;s thirdquarter core profit margin shrank 20 basis points to 23.5 year on year.

Consumer goods demand trends remained subdued with continued moderation in urban growth while rural sustained its…