In a bold LinkedIn post that has stirred the personal care and grooming industry, Shantanu Deshpande, the CEO of Bombay Shaving Company, predicted that the Minimalist skincare brand may “die” or lose significance within the next 3 to 5 years. This strong opinion came just months after Hindustan Unilever Limited (HUL) acquired the premium skincare brand for a whopping ₹2,955 crore in January 2025.
But why does Deshpande foresee such a grim future for one of India’s most celebrated D2C skincare brands?
Let’s break down his concerns, supported by industry facts, competitive risks, and the realities of big FMCG takeovers.
Background: HUL Acquires Minimalist
On January 22, 2025, Hindustan Unilever Limited officially acquired a 90.5% stake in Minimalist, an Indian premium skincare brand known for its clean, ingredient-first formulations. The deal was valued at ₹2,955 crore, making it one of the largest D2C exits in the Indian beauty industry.
Founded by Mohit Yadav and Rahul Yadav, Minimalist quickly rose to prominence by offering transparent, science-backed skincare at affordable prices. The brand was often compared to global players like The Ordinary and was seen as a “copycat” of the Canadian giant due to its minimalist packaging and ingredient-focused marketing.
Deshpande’s Prediction: “The Brand Will Die”
In his recent LinkedIn post, Shantanu Deshpande expressed serious doubts about the brand’s future:
“I am willing to bet that the brand Minimalist will die (or cease to exist in any meaningful way) in the next 3–5 years.”
According to Deshpande, the problem lies not in the brand’s past performance, but in the way things usually unravel post-acquisition by massive corporations like HUL.
The Exit of Founders: A Crucial Blow?
Deshpande points out that the original founders have exited the company post-acquisition:
“The founders are gone. They sold for a whopping ₹3,000 crore, made ₹2,000 crore for themselves, ₹1,000 crore for others, and have left. It was the right thing to do. I would have done the same.”
While he does not criticize the founders’ decision, Deshpande hints that their absence could cause the brand to lose its soul. Founders often embody the vision, agility, and direct consumer connect that fuels a D2C brand’s success.
Leadership Uncertainty at HUL
Deshpande raises another red flag: the deal’s original sponsor at HUL has also exited. A new CEO is now at the helm of HUL — a company he describes as a “struggling giant.”
“A new CEO is at the helm… there will be a combination of ‘focus on our core’ + ‘innovate and build ourselves for the consumer’ that will further alienate an orphaned brand.”
Such strategic shifts often deprioritize newly acquired brands, especially if they don’t align immediately with the core business or fail to meet short-term KPIs.
The Copycat Argument: Not Hard to Replicate
Deshpande is not the first to question Minimalist’s originality. The brand has frequently been compared to The Ordinary due to its lookalike packaging and identical product offerings.
“Not hard to copy a copycat, frankly. 🙂 Competition will ensure premiumisation – another strategic lever for new CEO – will be tough.”
In India’s rapidly growing skincare market, several other brands like Chemist at Play, Deconstruct, and Suganda are competing in the same space with similar formulas and pricing.
Financial Pressure: ROAS and ROCE
Deshpande highlights financial metrics as key pain points:
“There will soon be impatience around ROAS (Return on Ad Spend) and eventually ROCE (Return on Capital Employed). And the plug will be pulled at some point, invariably.”
In large corporations like HUL, every business unit must justify its existence through measurable returns. If Minimalist cannot scale profitably or deliver expected margins, it risks being sidelined or even shut down.
A Zombie Brand in the Making?
Shantanu warns of a possible “zombie brand” scenario — a brand that continues to exist but lacks consumer pull, innovation, or relevance.
“A brand at ₹400-500 crore, profitable, well run — will likely become a zombie business… with shareholders being ₹3,000 crore poorer.”
This aligns with what often happens when legacy companies acquire digital-first brands but fail to adapt their DNA, culture, or innovation speed.
Minimalist Under HUL: A Risky Bet?
Let’s look at the broader context:
- Minimalist’s annual revenue in FY24 was estimated between ₹350-500 crore.
- D2C brand integrations into FMCG giants have had mixed results globally — some thrive, others stagnate.
- HUL’s market cap is over ₹6 lakh crore — Minimalist contributes under 1% to that.
Deshpande bluntly adds:
“So who even cares…”
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