,less than a year after its first product launch and just months after which owns 47 per cent of Purely Byron,wrote down the value of its stake by $2.8 million.
Dr Vivek Eranki is the CEO of cosmetic services chain Cosmetique and has revealed interest in acquiring Purely Byron.Supplied
Dr Vivek Eranki,the founder and CEO of the injection and fillers clinic chain,said he was hoping to double Cosmetique’s footprint of 20 clinics by mid-2024 and would seek to sell Purely Byron products in-store and online. Eranki founded Cosmetique in Perth in 2017.
“Cosmeceuticals[is] something that we are actively looking at entering,” he said.
“We could either acquire our way in the sector or we could potentially set up our own brand and let it grow organically. In the interest of speed,we are very open to any business that is established in this sector.”
He believes Purely Byron’s collapse was likely not due to an inferior product or weak marketing,pointing to recent comments on social media of customers inquiring whether they would still be able to purchase products. Purely Byron products are currently not available for purchase and are listed on the website as “coming soon”.
“People go ‘oh my god,can I still buy it?’ That is a good problem to have,” he said.
“At first glance,it doesn’t seem that the issue lies with the formula,the product,[or] the branding. I think,if I were to hazard a guess,this may have gone to administration because of the parent company[BWX].“
Earlier this month,BWX – which manufactures brands such as Sukin and Zoe Foster Blake’s Go-To – revealed it after slashing asset valuations,while sales revenue plunged below $80 million.
If Eranki becomes skincare brand’s new owner,he will seek to keep Pataky on as an ambassador to continue leveraging her significant social media following of more than five million people.
“When you have a good product that is represented by a very reputable ambassador,such as in this case,it makes our job a lot easier in order to sell it.”
Pataky is not listed as a director of the business,according to company documents filed to ASIC.
The cosmetics chain chief intends to keep product formulations as is but did not rule out altering the formula if his team of advisers said there was clear value for the customer.
Administrators for Purely Byron,the skincare brand co-founded by model and actor Elsa Pataky and backed by husband Chris Hemsworth,are seeking a buyer for the business.Supplied
Eranki said the administrators had reached out to his accounting and finance department to provide financial information about Purely Byron that will be reviewed by his team as well as an external auditor and a law firm that specialises in due diligence and acquisitions. Cosmetique’s board will then consider whether to make any acquisition decisions.
He declined to put a figure on how much he was looking to acquire Purely Byron for without first conducting due diligence.
Administrators DW Advisory were contacted for comment.
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