11th June 2024- JCB (Jean Claude Biguine) Salons India, a prominent salon chain, has successfully raised Rs 40 crore ($4.8 million) from the alternative credit platform Blacksoil. This funding injection has enabled JCB Salons to acquire Spalon, a well-established salon chain, facilitating its expansion into the lucrative South Indian market. Alongside expansion efforts, the capital infusion will be directed towards enhancing working capital and operational efficiencies across the group.
Established in 2006, JCB Salons presently operates 18 salons in key cities like Mumbai, Pune, and Bengaluru, catering to approximately 1,500 customers monthly. The company boasts a global presence across 20 countries, with 400 salons and spas. Spalon, on the other hand, is renowned for its spa and salon services, with over 27 branches spread across Southern India.
The collaboration between JCB and Spalon aims to leverage JCB’s expertise and Spalon’s deep understanding of the local market to solidify their position in West and South India.
Following the departure of its long-time chief executive last year, JCB Salons continues to demonstrate resilience and growth. With a cumulative funding of Rs 157 crore (approximately $19 million) to date, including investment from RARE Enterprises, the company has reported notable financial performance. In FY23, operating revenue surged to Rs 50.66 crore, accompanied by a transition to profitability, marking a significant milestone in its journey.
Despite the challenges posed by the pandemic, JCB Salons sustained a year-on-year growth rate of 5-6% in FY24. The Indian beauty market’s projected growth, estimated at 6% annually and expected to reach $580 billion by 2027, underscores the immense potential for expansion and innovation in the sector.
In recent months, several established brands, including TechnoSport and Libas, have secured strategic investments from institutional backers, signaling a promising trend of growth and development within the Indian business landscape.
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