VLCC, a wellness company, has announced Esops worth Rs 65 crore (employee stock options)

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for 30 people in its first and second line of management. Later, the company will have a second round of Esops, which will increase the total valuation up to Rs 125 crore. The second round will be a precursor to the announcement of the initial public offer (IPO) of the company, which will be around Rs 500 crore and will be used to fund the expansion plans of the company. "Although we are maintaining our growth, we haven't decided the exact time of the IPO, but it will be in another 18 months," said the company's chairman and managing director, Mukesh Luthra.

The company has hired advisory firm, Grant Thornton in the US, for acquisitions in the field of skin care. "Even though everyone is talking about the economic slowdown, we are positive and are looking forward to some mergers and acquisitions," added Luthra.

VLCC will also be doing private labelling for the Future group for a skin care product, the factory for which has been set up in Haridwar at an investment of Rs 85 crore. Cricketer Sachin Tendulkar is likely to be roped in as the brand ambassador for the product. The company is also in talks with international retailers for private labelling.

VLCC plans to enter new verticals and set up offices in Nairobi, Moscow and East European countries. From 152 slimming centres, it plans to have 300 centres and increase its retail presence from 25,000 outlets to 35,000 outlets by 2010-11.

Post-IPO, the company plans to enter larger businesses, such as hospitality, to expand its portfolio. "We have launched two new products – chin and neck firming and breast firming products. We want to come up with more solution products," Luthra said. The wellness and personal care company is also trying to build its product base in the men's category.