Nykaa is increasing its stake in Indian skincare brand Dot & Key after making an initial majority investment in 2022.WHO: Founded by Suyash Saraf and Anisha Saraf, Kolkata-based Dot & Key offers premium skincare products. The brand has recently expanded into nutraceuticals under the brand IKWI. The brand has a range of over 75 unique fruit-based formulations and has over 5 million customers, most of whom are millennials and Gen Zs.Nykaa founder and CEO Falguni Nayar, a former Managing Director at Kotak Investment Banking, founded Nykaa as an e-commerce platform for beauty and wellness products in 2012. The Mumbai-headquartered company launched offline operations in 2015. Nykaa's IPO in November 2021 raised 53.5 billion rupees ($722 million) through the sale. The business has become an omnichannel beauty destination with 72 Luxe and On-Trend and Kiosk Stores and an assortment of 2,400+ brands across makeup, skincare, haircare, bath and body, fragrance, grooming appliances, personal care, and health and wellness categories.WHY: The acquisition reflects Nykaa’s confidence in the growth potential of sustainable and differentiated beauty brands. The deal aligns with Nykaa’s broader strategy to strengthen its portfolio by increasing ownership of high-performing, niche brands, thereby solidifying its market position.IN THEIR OWN WORDS: Adwaita Nayar, co-founder, Nykaa, CEO, Nykaa Fashion and Beauty Brands, said, “The Dot & Key success story is a testament to the collective strength of our partnership—driving excellence in unique formulations, constant innovation, energized marketing and holistic distribution.